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COMPREHENSIVE ANNUAL

FINANCIAL REPORT

YEAR ENDED JUNE 30, 2000

COUNTY OF KERN

Supervisor Jon McQuiston .....................................................First District

Supervisor Steve A. Perez ................................................. Second District

Supervisor Barbara Patrick .................................................. Third District

Supervisor Ken Peterson, Chairman .................................. Fourth District

Supervisor Peter H. Parra ..................................................... Fifth District

Scott E. Jones – County Administrative Officer

Prepared by the Office of the Auditor-Controller-County ClerkJames A. Rhoades, Auditor-Controller-County Clerk

COUNTY OF KERNTABLE OF CONTENTS

For the Fiscal Year Ended June 30, 2000

i

INTRODUCTORY SECTION

LETTER OF TRANSMITTAL................................................................................................................................................1

DIRECTORY OF ELECTED COUNTY OFFICIALS.................................................................................................................11

DIRECTORY OF APPOINTED COUNTY OFFICIALS ............................................................................................................12

ORGANIZATION CHART..................................................................................................................................................13

CERTIFICATE OF ACHIEVEMENT FOR EXCELLENCE IN FINANCIAL REPORTING ................................................................14

FINANCIAL SECTION

INDEPENDENT AUDITOR’S REPORT ................................................................................................................................15

GENERAL PURPOSE FINANCIAL STATEMENTS:

Combined Balance Sheet – All Fund Types and Account Groups .............................................................................................16

Combined Statement of Revenues, Expenditures and Changes in Fund Balances – All Governmental Fund Types .............................................................................................................................................20

Combined Statement of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual on Budgetary Basis – General Fund, Certain Special Revenue Funds, Certain Capital Projects Funds and Certain Debt Service Funds ...............................................................................................................21

Combined Statement of Revenues, Expenses and Changes in Retained Earnings (Deficit) – All Proprietary Fund Types...................................................................................................................................................25

Combined Statement of Cash Flows – All Proprietary Fund Types...........................................................................................26

Statement of Changes in Net Assets – Investment Trust........................................................................................................28

Notes to the General Purpose Financial Statements...............................................................................................................29

COMBINING FUND AND INDIVIDUAL ACCOUNT GROUP FINANCIAL STATEMENTS AND SCHEDULES:

General Fund:

Fund Description ..........................................................................................................................................................75

Balance Sheet ..............................................................................................................................................................76

Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) ...................................................................77

Schedule of Revenues, Expenditures and Changes in Fund Balance (Deficit) – Budget and Actual on Budgetary Basis.....................................................................................................................78

Special Revenue Funds:

Fund Descriptions..........................................................................................................................................................92

Combining Balance Sheet...............................................................................................................................................94

Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) ..................................................98

Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Deficit) – Budget and Actual on Budgetary Basis...................................................................................................................102



ii

Capital Projects Funds:

Fund Descriptions........................................................................................................................................................118

Combining Balance Sheet.............................................................................................................................................119

Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) ................................................121

Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Deficit) – Budget and Actual on Budgetary Basis.....................................................................................................................123

Debt Service Funds:



Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) ................................................131

Combining Schedule of Revenues, Expenditures and Changes in Fund Balances (Deficit) – Budget and Actual on Budgetary Basis.....................................................................................................................133

Enterprise Funds:



Combining Statement of Revenues, Expenses and Changes in Retained Earnings (Deficit) ................................................139

Combining Statement of Cash Flows .............................................................................................................................141

Internal Service Funds:



Combining Statement of Revenues, Expenses and Changes in Retained Earnings (Deficit) ................................................148

Combining Statement of Cash Flows .............................................................................................................................150

Fiduciary Funds:

Fiduciary Funds Description..........................................................................................................................................152


Statement of Net Assets – Investment Trust Fund..........................................................................................................155

Combining Statement of Changes in Assets and Liabilities – Agency Funds ......................................................................156

General Fixed Assets Account Group:

Account Group Description...........................................................................................................................................158

Schedule of General Fixed Assets – By Source ...............................................................................................................159

Schedule of General Fixed Assets – By Function.............................................................................................................160

Schedule of Changes in General Fixed Assets – By Function............................................................................................161



iii

General Long-Term Debt Account Group:

Account Group Description...........................................................................................................................................162


Schedule of Changes in General Long-Term Debt ..........................................................................................................165

STATISTICAL SECTION (Unaudited)

General Governmental Revenues by Source – Last Ten Fiscal Years .....................................................................................................166

General Governmental Expenditures by Function – Last Ten Fiscal Years..............................................................................................168

Comparative Schedule of Total Taxes Levied on County Tax Bills for All Agencies – Last Ten Fiscal Years...................................................................................................................................................................170

Property Tax Rates – Direct and Overlapping Governments – Last Ten Fiscal Years...............................................................................171

Comparative Schedule of Assessed Valuations, Secured and Unsecured – Last Ten Fiscal Years ................................................................................................................................................................................172

Special Assessments and Building Permits ..........................................................................................................................................174

Computation of Legal Debt Margin – Last Ten Fiscal Years .................................................................................................................175

Ratio of Annual Debt Service Expenditures to Total General Governmental Expenditures – Last Ten Fiscal Years ............................................................................................................................................176

Estimated Direct and Overlapping Bonded Debt..................................................................................................................................177

Ratio of Net General Bonded Debt to Assessed Value and Net Bonded Debt Per Capita – Last Ten Fiscal Years ............................................................................................................................178

Assessed Valuation of Redevelopment Agency Increment....................................................................................................................179

Building Permit Valuations, Dwelling Units and Bank Deposits – Last Seven Calendar Years ...........................................................................................................................................................................180

Demographic Statistics – Last Ten Fiscal Years ...................................................................................................................................181

Miscellaneous Statistical Data............................................................................................................................................................182

Principal Taxpayers ..........................................................................................................................................................................183

1

JAMES A. RHOADESAuditor-Controller-County Clerk

November 17, 2000

Honorable Board of SupervisorsCounty of Kern

Honorable Board Members:

The Comprehensive Annual Financial Report of the County of Kern for the fiscal year ended June 30,2000 is hereby submitted in compliance with section 25253 of the Government Code of the State ofCalifornia and Board of Supervisors’ Resolution No. 69-58, dated January 28, 1969.

The accompanying financial statements were prepared in accordance with generally accepted accountingprinciples as promulgated by the Governmental Accounting Standards Board, the accepted standardsetting body for establishing governmental accounting and financial reporting principles. Responsibility forboth the accuracy of the data and the completeness and fairness of the presentation and all disclosuresrests with the County. We believe the enclosed data is accurate in all material respects and presents fairlythe financial position and results of operations of the various funds and account groups of the County andthat all disclosures necessary to enable the reader to gain an understanding of the County’s financialactivities have been included.

The report is presented in three sections:

The introductory section includes this transmittal letter, the County’s organization chart, a listof principal officials, and the Certificate of Achievement for Excellence in Financial Reporting.

The financial section includes the general purpose financial statements and schedules, as wellas the independent auditor’s report on the financial statements and schedules.

The statistical section includes selected financial and demographic information and isunaudited.

The County is required to undergo an annual single audit in conformity with the provisions of the SingleAudit Act of 1984 and the United States Office of Management and Budget Circulars A-87 and A-133, asrevised. Information related to the single audit, including the schedule of Federal financial assistance,findings and recommendations, and independent auditors' reports on the schedule of Federal financialassistance, internal accounting and administrative controls and compliance with applicable laws andregulations are published separately from this report.

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The County of Kern and Its Services

The County of Kern was organized April 2, 1866, from portions of Los Angeles and Tulare Countiesmaking it the southernmost county of California’s San Joaquin Valley. Kern County is organized as ageneral law county under California law and divided into five supervisorial districts. Bakersfield, theCounty seat, has approximately 60 percent of the County’s total population of 659,000 living within thegreater metropolitan area. Oil and agricultural production dominate both the County’s landscape andeconomy. The County of Kern is the nation’s leading county in oil production in the lower 48 states andthird leading county in agricultural production. Cotton, carrots, grapes, almonds and dairy products aremajor products of the County’s agriculture industry.

The accompanying General Purpose Financial Statements include all organizations, functions andactivities of the County for which the County Board of Supervisors are financially accountable. Servicesprovided by the County government include police and fire protection, hospital and public health services,welfare services, public records, public transportation, airports, parks and libraries. The County providesservices to cities within the County on a cost recovery contract basis. Numerous self-governed school andspecial districts are included in these statements as trust and agency funds for which the County acts asa depository. The Kern County Employees’ Retirement System is independent and provides separateaudited financial statements.

Economic Condition and Outlook

Oil extraction, agricultural production and government are driving forces in the County’s economy. Eightof the top ten taxpayers of the County are oil producers or closely related to the oil industry.

The Assessor’s preliminary estimate indicates an increase in the County’s assessed valuation ofapproximately 10% for next fiscal year, due primarily to an increase in assessed valuation of oil and gasproperty.

Agriculture continues to remain relatively stable and the unemployment rate dropped from 12.2% in1998-99 to 10.8% for 1999-2000. The population of the County increased slightly (1.7%). The County’smajor employers are the public school system, Edwards Air Force Base, China Lake Naval WeaponsCenter and the County of Kern. Neither Edwards Air Force Base or China Lake Naval Weapons Centerhave been selected as targets for closure, although staff reductions have occurred in the past. More than10,000 civilians are directly employed at the military facilities.

Major Initiatives

Airport Terminal Expansion The largest of seven airports operated by the County of Kern is theMeadows Field Airport located in Bakersfield. County officials have proposed a major expansion of theterminal which includes the design and construction/expansion of the terminal, parking lot, aircraftparking apron and a new access road. The project is estimated to cost between $20-$30 million. Fundingis expected to be provided through County funds, Federal grants and funds from the City of Bakersfield.This project is expected to be completed in 2004.

Justice Services The County received a Board of Corrections grant award for approximately $12 million.The award is for the construction of a 120 bed youth treatment facility to be located near the Sheriff’sLerdo Facility. The project is expected to be completed in April 2003.

3

Human Services Programs The Department of Human Services is currently impacted by the increasingnumber of clients served under its various programs, including Child Protective Services and CalWORKS.During the 2000-01 fiscal year, 175 new positions are expected to be added to help meet the caseloadincrease.

Financial Accessibility via the Internet The County has made a concerted effort to make financialinformation available to the public via the internet. The Comprehensive Annual Financial Report alongwith various property tax information and confirmations are now available on the County’s website.

Internal and Budgetary Control

County management has developed a system of internal accounting controls designed to providereasonable, but not absolute, assurance that assets are protected from loss, theft or misuse, and toprovide reliable records for preparing financial statements. The concept of reasonable assurancerecognizes that the cost of a control should not exceed the cost benefits likely to be derived and that theevaluation of costs and benefits require estimates and judgement by management.

As part of the County’s system of internal control, the Internal Audits Division of the Auditor-Controllerperforms periodic evaluation of internal controls of various county departments and accountingprocesses. In addition, the County continues a policy of requiring an annual audit of its various fundsand account groups by an independent Certified Public Accountant selected through a “request forproposal” process.

The County prepares and adopts a budget on or before August 30 for each fiscal year in accordance withGovernment Code Sections 29000-29144. Budgets are adopted for the General Fund, certain SpecialRevenue and certain Capital Project Funds and the Enterprise and Internal Service Funds. The Auditor-Controller-County Clerk is responsible for controlling expenditures within budgeted appropriations.Expenditures are controlled on the object level for all budget units within the County. Encumbranceaccounting is utilized to ensure effective budgetary control and accountability. Unencumberedappropriations lapse at year-end and encumbrances outstanding at that time are reported as reservationsof fund balance for subsequent year expenditures. Transfers of appropriations between budget unitsmust be approved by the Board of Supervisors. Necessary supplemental appropriations, normallyfinanced by unanticipated revenues during the year, and transfers of appropriations between expenditureobject classifications must also be approved by the Board.

Cash Management

The County of Kern pools deposits for County departments as well as for local agencies such as cities,school districts and other special purpose districts within the County. The Treasurer’s pooled cash andinvestments do not include funds of the Kern County Employees’ Retirement Association, which is anindependent entity.

The Kern County Employees’ Retirement Association is governed by the Board of Retirement. Investmentcounselors are hired by the Board to invest retirement fund assets.

The County Treasurer-Tax Collector is the direct receiver of property tax payments and most largegovernment payments for the County and local districts. All collections for fees and services received atthe County department level are required to be deposited with the County Treasurer-Tax Collector. Inorder to improve security over departmental collections and expedite investment of receipts the County

4

Treasurer-Tax Collector has implemented a cash concentration program with a local bank, allowingCounty departments to deposit directly to a County bank account. At June 30, 2000 the Treasurer’sPooled Cash included cash and investments totaling $1,208,702,000.

Pooled Cash funds are managed by Treasurer-Tax Collector staff to maintain adequate liquidity to meetdaily operating demands and to provide the highest interest earnings possible within County investmentpolicies and Government Code Section 53635. Investments authorized under this policy include U.S.Treasury and Agency obligations, local and State bond issues, banker’s acceptances, commercial paper ofprime quality, certificates of deposit, medium term corporate notes, mutual funds and mortgage backedsecurities. In October 1995, the Board of Supervisors approved formation of a Treasury OversightCommittee. The purpose of the committee is to review and monitor the Pooled Cash investment policyand contract for an annual investment program compliance audit, which is available from the Treasurer-Tax Collector. Earnings on Pooled Cash during fiscal year ended June 30, 2000 averaged 5.70%, whichcompares with 5.27% for 91-day Treasury Bills for the same period and 5.13% for the prior year.Interest earnings are allocated quarterly to each fund based on each fund’s average daily balance.

Debt Control

Short Term Financing

The County of Kern has instituted a cash management program for its General Fund through the issuanceof tax and revenue anticipation notes, which are a General Fund obligation of the County. The notesprovide cash flows to meet General Fund expenditures during the period prior to collection of propertytaxes. On July 1, 1999 the County issued $46,000,000 in 1999-00 Tax and Revenue Anticipation Noteswhich matured on June 30, 2000. On July 5, 2000 the County issued an additional $46,000,000 in Taxand Revenue Anticipation Notes which mature on July 2, 2001.

Certificates of Participation

As of June 30, 2000, Kern County has outstanding certificates of participation in a principal amount of$143,215,000. The proceeds of such certificates of participation are being used for the purchase ofequipment, and acquisition, construction and renovation of certain public facilities within the County.

A summary of the County’s certificates of participation as of June 30, 2000 includes(in thousands):

Description of Issue Date Issued MaturityPrincipal

OutstandingKern County Public Facilities Project, Series A, B, C and D 1986 2006 $ 67,800Kern Medical Center Emergency Facilities 1991 2006 8,190Solid Waste Systems Improvements 1994 2009 13,305Rosamond Library Project 1994 2014 1,680Kern Medical Center Surgical Services Facility 1995 2005 5,940Beale Memorial Library 1996 2007 11,645Golf Course Capital Improvement 1996 2016 4,340Fire Department 1997 2017 9,8451999 Capital Improvement Projects 1999 2019 20,470

Total: $ 143,215

5

Pension Obligation Bonds

In 1995 Kern County issued Taxable Pension Obligation Bonds in the amount of $227,818,439. ThePension Bonds are payable from the General Fund and debt service for 1999-00 was approximately $12.6million.

Risk Management

The Risk Management Division of the Office of County Counsel determines and administers all riskcoverage requirements for the County of Kern. The County of Kern is generally self-insured for generalliability, unemployment insurance, Workers’ Compensation and employee medical and dental claims.

Excess liability insurance through Transamerica Insurance Group provides coverage for claims over$1,000,000 and up to $22,000,000. The policy protects the County of Kern and its employees againstmost legal liabilities arising from automobile liability, product damage, contractual liability, non-hospitalmalpractice and public officials’ errors and omissions. Workers’ Compensation claims are self-insured upto $300,000 per occurrence. Excess coverage is maintained through Employers Reinsurance Company forWorkers’ Compensation claims up to $5,000,000 per occurrence. The County does not self-insure againstliability at its seven airports. Airport Liability insurance is provided by Reliance National IndemnityCompany and Excess Airport Liability insurance is provided by Underwriters at Lloyds of London andcertain insurance companies.

Financial activity of the programs is accounted for in separate Internal Service Funds for General Liability,Group Health, Retiree Group Health, Unemployment Compensation and Workers’ Compensation.Specialty insurance is accounted for in the General Fund.

General County Governmental Functions

Revenues

Revenues for general County governmental functions totaled $905,423,000 during 1999-00, an increaseof 7.1 percent from 1998-99. Taxes produced 15.4 percent of general revenues, which is a 5.4 percentincrease in tax revenue over last year. The amount of revenue (in thousands) from various sources andthe changes from last year are shown in the following table:

Revenue Resource 1999-00 1998-99 Change

Taxes $139,328 $132,131 $7,197Licenses, Permits and Franchises 9,492 9,710 (218)Fines, Forfeitures and Penalties 17,248 13,926 3,322Use of Money and Property 13,038 12,061 977Aid from Other Governmental Agencies 521,590 464,590 57,000Charges for Current Services 116,471 105,232 11,239Other Revenue 88,256 107,422 (19,166)

Total Revenue $905,423 $845,072 $60,351

6

REVENUES

15%

1%

1%

58%

13%

10%

2%

Taxes 15%

Licenses, Permits and Franchises 1%

Use of Money and Property 1%

Aid from Other Governmental Agencies 58%

Charges for Current Services 13%

Other Revenue 10%

Fines, Forfeitures and Penalties 2%

7

Expenditures

Expenditures for general County governmental purposes totaled $868,765,000 during fiscal year 1999-00,an increase of 7.8 percent from 1998-99. Increases and decreases in levels of expenditures (inthousands) by major functions over the preceding year are as follows:

Function 1999-2000 1998-1999 Change

Current:

General Government $ 66,461 $ 66,343 $ 118

Public Protection 264,142 251,602 12,540

Health and Sanitation 157,362 136,385 20,977

Public Assistance 309,570 281,877 27,693

Education 7,449 7,365 84

Recreation and Cultural Activities 9,440 9,397 43

Public Ways and Facilities 24,194 24,138 56

Capital Outlay 8,478 7,411 1,067

Debt Service

Principal 8,079 7,406 673

Interest 13,590 13,620 (30)

Total Expenditures $ 868,765 $ 805,544 $ 63,221

8

EXPENDITURES

8%

30%

1%

3%

18%

1%

1%

35%

1%

2%

General Government 8% Public Protection 30% Recreation and Cultural Services 1%

Public Ways and Facilities 3% Health and Sanitation 18% Capital Outlay 1%

Debt Service - Principal 1% Public Assistance 35% Education 1%

Debt Service - Interest 2%

9

General Fund Balances

The General Fund is the general operating fund of the County. The General Fund began fiscal year 1999-00 with a cash balance of $19.3 million and ended the fiscal year with a balance of $29.9 million, anincrease of 54%.

Enterprise Funds

Enterprise funds are used to account for operations that are financed and operated in a manner similar toprivate business. The County has six enterprise funds: Airports provides for the administration andoperation of the seven county airports; County Sanitation Districts consist of two sanitation districts, KernSanitation Authority and Ford City Taft-Heights Sanitation District; Kern Medical Center is a 222 bed acutecare hospital offering emergency, outpatient and inpatient medical care; Public Transportation providesresources related to provision of public transportation; Waste Management provides for the operation forthe County’s Solid Waste Disposal System; and Golf Course provides for the operation of three Countyowned golf courses. The Enterprise Funds Retained Earnings balances (in thousands) at June 30, 2000are as follows:

Enterprise fund Balance

Airports $ 21,695County Sanitation Districts 15,634Kern Medical Center 32,140Public Transportation 3,073Waste Management 16,432Golf Course 1,444

Internal Service Funds

Internal Service Funds account for services provided to other County departments and are financed bycharges for such services. The General Liability fund provides for administration and operation of a self-insured system to meet the Counties legal liability for damages; General Services-Garage providesfunding for purchase and maintenance for vehicles assigned to County departments, excluding thosedepartments that maintain and operate their own vehicle fleets; Group Health provides for the operationof the County employees’ health and dental insurance; Retiree Group Health provides for the County’scontributions to the Retired Employees Health Insurance and the Retiree Premium Support Program;Unemployment Compensation fund provides for the funding and operation of the UnemploymentCompensation Program and Workers’ Compensation fund provides for the funding and operation of theself-insured system to meet the County’s obligation to compensate its employees for work related injuriesand illnesses.

The Internal Service Funds Retained earnings (deficit) balances (in thousands) at June 30, 2000 are asfollows:

Internal Service Fund Balance

General Liability $ (3,630)General Services - Garage 3,619Group Health (594)Retiree Group Health 9,734Unemployment Compensation 596Workers’ Compensation (17,130)

11

COUNTY OF KERNDIRECTORY OF COUNTY OFFICIALS

ELECTED

COUNTY SUPERVISOR, FIRST DISTRICT ......................................................... JON MCQUISTON

COUNTY SUPERVISOR, SECOND DISTRICT........................................................ STEVE A. PEREZ

COUNTY SUPERVISOR, THIRD DISTRICT ...................................................... BARBARA PATRICK

COUNTY SUPERVISOR, FOURTH DISTRICT......................................................... KEN PETERSON

COUNTY SUPERVISOR, FIFTH DISTRICT .......................................................... PETER H. PARRA

ASSESSOR-RECORDER ..................................................................................JAMES W. MAPLES

AUDITOR-CONTROLLER-COUNTY CLERK......................................................JAMES A. RHOADES

DISTRICT ATTORNEY..................................................................................EDWARD R. JAGELS

SHERIFF-CORONER-PUBLIC CONSERVATOR ...................................................... CARL L. SPARKS

SUPERINTENDENT OF SCHOOLS......................................................................... LARRY REIDER

TREASURER-TAX COLLECTOR........................................................................... PHIL D. FRANEY

JUDGES OF THE SUPERIOR AND MUNICIPAL COURTS

ROBERT ANSPACH MICHAEL BUSHSIDNEY CHAPIN BRYCE L. CHASEJAMES COMPTON JOHN L. FIELDERLEE FELICE FRANK A. HOOVERGARY T. FRIEDMAN COLETTE HUMPHREYSTEPHEN P. GILDNER GARY A. INGLETHERESA GOLDNER MICHAEL B. LEWISJOHN I. KELLY CHARLES P. McNUTTRICHARD J. OBERHOLZER SHARON METTLERROGER D. RANDALL ROMERO J. MOENCHCOLEEN W. RYAN JOHN D. OGLESBYJON E. STUEBBE CHARLES B. PFISTERJEROLD L. TURNER JOHN I. QUINLENKENNETH C. TWISSELMAN, II H.A. STALEYARTHUR E. WALLACE ROBERT McDANIELCLARENCE WESTRA, JR GARY R. WITT

12

COUNTY OF KERNDIRECTORY OF COUNTY OFFICIALS

APPOINTED

AGING AND ADULT SERVICES....................................................................... RONALD M. ERREAAGRICULTURAL COMMISSIONER ...............................................................THEODORE K. DAVISAIRPORTS ................................................................................................... RAYMOND BISHOPBOARD OF TRADE ...........................................................................................BARRY ZOELLERCLERK OF THE BOARD ....................................................................................DENISE PENNELLCOMMUNITY DEVELOPMENT .......................................................................WILLIAM MUNGARYCOUNTY ADMINISTRATIVE OFFICER................................................................ SCOTT E. JONES

GENERAL SERVICESGROUP HEALTHRETIREE GROUP HEALTHUNEMPLOYMENTINFORMATION TECHNOLOGY SERVICES

COUNTY COUNSEL .................................................................................BERNARD C. BARMANNEMERGENCY MEDICAL SERVICES........................................................... RUSS BLIND (INTERIM)EMPLOYERS’ TRAINING RESOURCE........................................................................ JOHN NILONENGINEERING & SURVEY SERVICES................................................................ CHARLES LACKEYENVIRONMENTAL HEALTH.............................................................................. STEVE McCALLEYFARM AND HOME........................................................................................... DARLENE LIESCHFIRE CHIEF........................................................................................................ DANIEL CLARKHUMAN SERVICES.................................................................................... KATHLEEN M. IRVINEKERN MEDICAL CENTER .................................................................................. PETER K. BRYANLIBRARY… ................................................................................................DIANE R. DUQUETTEMENTAL HEALTH..........................................................................................DIANE G. KODITEKPARKS AND RECREATION......................................................................... ROBERT D. ADDISONPERSONNEL..................................................................................................... KAY F. MADDENPLANNING .............................................................................................................. TED JAMESPROBATION................................................................................................ LARRY J. RHOADESPUBLIC DEFENDER.........................................................................................MARK A. ARNOLDPUBLIC HEALTH............................................................................BABATUNDE A. JINDAU, M.D.RESOURCE MANAGEMENT AGENCY..............................................................DAVID L. PRICE, IIIROADS………. .........................................................................................................CRAIG POPEVETERANS’ SERVICES.................................................................................... CHARLES BIKAKISWASTE MANAGEMENT....................................................................... DAPHNE H. WASHINGTONWEIGHTS AND MEASURES............................................................................MONTY H. HOPPER

PUBLICPROTECTION

KERN COUNTY ORGANIZATION CHART

THE ELECTORATE OF KERN COUNTY

THE BOARD OF SUPERVISORS

COUNTY ADMINISTRATIVE OFFICECIVIL SERVICE COMMISSION

PUBLICASSISTANCE

HEALTH &SANITATION

CULTURE,RECREATION &

EDUCATION

PUBLIC WAYS &FACILITIES GENERAL

PERSONNEL

DISTRICTATTORNEY

FIRE DEPARTMENT

PUBLICDEFENDER

PROBATIONDEPARTMENT

AGRICULTURALCOMMISSIONER

WEIGHTS &MEASURES

PLANNINGRESOURCE

MANAGEMENTAGENCY

SHERIFF-CORONER

HUMANSERVICES

EMPLOYER’STRAININGRESOURCE

COMMUNITYDEVELOPMENT

PROGRAM

VETERANSSERVICES

AGING & ADULTSERVICES

KERN MEDICALCENTER

EMERGENCYMEDICALSERVICES

HEALTHDEPARTMENT

MENTALHEALTH

SERVICES

WASTEMANAGEMENT

LIBRARY

PARKS &RECREATION

FARM & HOMEADVISOR

ROADS

AIRPORTS

CLERK OF THEBOARD

INFORMATIONTECHNOLOGY

SERVICES

GENERALSERVICES

ENGINEERING& SURVEYSERVICES

COUNTYCOUNSEL

BOARD OFTRADE

ASSESSOR –RECORDER

AUDITOR-CONTROLLER-

COUNTY CLERK

ELECTIONS

TREASURER- TAX

COLLECTOR

LEGENDAppointed by Board of SupervisorsFull Accountability to Board of SupervisorsFiscal Accountability to Board of SupervisorsElective Office

13

COUNTY OF KERNCOMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPSJUNE 30, 2000 (IN THOUSANDS)

Page 1 of 2

PROPRIETARYFUND TYPES

Special Capital DebtGeneral Revenue Projects Service Enterprise

Assets:Pooled Cash and Investments $ 29,862 $ 47,361 $ 2,592 $ 36,784 $ 110,535Revolving Fund Cash 1,207 111 12Cash and Investments Deposited With Trustee 35,932 18,882Receivables:

Accounts - Net 110 16,312Taxes Loans 1,200 2,428Interest 1,603 598 28 554 1,649

Accrued Revenue 16,542 29,862 846Due from Other:

Funds 5,878 2,151Agencies 130

Advances to Other Funds 13,540 4,500Deposits with Others 205Inventory - Materials and Supplies 60 1,940 829Prepaid Items 1,725Fixed Assets - Net 114,385

Other Debits - Resources to be Provided in Future Years:Compensated AbsencesLease Purchase AgreementsLoans PayableFacility Lease Certificates of ParticipationBonds PayablePension Obligation Bonds

Total Assets and Other Debits $ 70,097 $ 82,133 $ 2,620 $ 80,198 $ 265,305

GOVERNMENTAL FUND TYPES

ASSETS AND OTHER DEBITS

SEE ACCOMPANYING NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS

16

of 2

PROPRIETARY FIDUCIARY FUND TYPES FUND TYPES

General General TOTALInternal Trust and Fixed Long-Term (MEMORANDUMService Agency Assets Debt ONLY)

Assets:$ 25,297 $ 956,271 $ $ $ 1,208,702 Pooled Cash and Investments

7 1,337 Revolving Fund Cash54,814 Cash and Investments Deposited With Trustee

Receivables:41 909 17,372 Accounts - Net

91,565 91,565 Taxes 190 3,818 Loans

412 8,758 13,602 Interest47,250 Accrued Revenue

Due from Other:259 8,288 Funds

4,806 4,936 Agencies18,040 Advances to Other Funds

635 840 Deposits with Others141 2,970 Inventory - Materials and Supplies234 1,959 Prepaid Items

3,527 3 381,430 499,345 Fixed Assets - NetOther Debits - Resources to be Provided in Future Years:

40,795 40,795 Compensated Absences6,789 6,789 Lease Purchase Agreements

10,000 10,000 Loans Payable622 622 Facility Lease

97,785 97,785 Certificates of Participation240 240 Bonds Payable

185,461 185,461 Pension Obligation Bonds

$ 30,287 $ 1,062,768 $ 381,430 $ 341,692 $ 2,316,530 Total Assets and Other Debits

ACCOUNT GROUPS

ASSETS AND OTHER DEBITS


17

COUNTY OF KERNCOMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS (Continued)JUNE 30, 2000 (IN THOUSANDS)

Page 2 of 2

PROPRIETARYFUND TYPES

Special Capital DebtGeneral Revenue Projects Service Enterprise

Liabilities:Payables:

Warrants $ $ $ $ $Accounts 785Salaries and Employee Benefits 7,284 5,611 2,841Loans 130 1,390 2,298Matured Bonds and Interest Compensated Absences 5,905Long Term Debt

Accrued Expenses/Expenditures 1,102 225 5,023Due to Other:

Funds 5,095 1,483Agencies 1,483

Current Portion of Long-Term Debt 3,479Deferred Revenue 8,891 241Advances from Other Funds 25 4,500Liability for Self Insurance - Current PortionLiability for Self Insurance - Long-Term PortionEstimate for Professional Liability Claims 8,464Long-Term Debt - Capital Assets 70Long-Term Debt - Certificates of Participation 41,972Unapportioned Installment RedemptionsLong-Term Debt - Pension Obligation Bonds 33,836Accrued Closure / Post Closure Liability 49,810

Total Liabilities 8,199 23,597 4,725 155,422

Equity (Deficit) and Other Credits:Contributed Capital 19,465Investment in General Fixed AssetsRetained Earnings (Deficit) :

Reserved (Note lll K) 19,936Unreserved 70,482

Fund Balance:Reserved (Note lll L) 33,233 45,565 16,015 35,480Unreserved: Designated (Note lll L) 455 6,646 12 35,932 Undesignated 28,210 6,325 (18,132) 8,786

Total Equity (Deficit) and Other Credits 61,898 58,536 (2,105) 80,198 109,883

Total Liabilities, Equity and Other Credits $ 70,097 $ 82,133 $ 2,620 $ 80,198 $ 265,305

GOVERNMENTAL FUND TYPES

LIABILITIES, EQUITY (DEFICIT) AND OTHER CREDITS


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of 2

PROPRIETARY FIDUCIARY FUND TYPES FUND TYPES

General General TOTALInternal Trust and Fixed Long-Term (MEMORANDUMService Agency Assets Debt ONLY)

Liabilities:Payables:

$ $ 155,208 $ $ $ 155,208 Warrants1,676 2,461 Accounts

15 15,751 Salaries and Employee Benefits 3,818 Loans

152 152 Matured Bonds and Interest 81 5,986 Compensated Absences

341,692 341,692 Long Term Debt 1,021 7,371 Accrued Expenses/Expenditures

Due to Other:99 1,611 8,288 Funds

202,640 204,123 Agencies3,479 Current Portion of Long Term Debt9,132 Deferred Revenue

13,515 18,040 Advances from Other Funds17,478 17,478 Liability for Self Insurance - Current Portion17,243 17,243 Liability for Self Insurance - Long-Term Portion

8,464 Estimate for Professional Liability Claims70 Long-Term Debt - Capital Assets

41,972 Long-Term Debt - Certificates of Participation3,711 3,711 Unapportioned Installment Redemptions

482 34,318 Long-Term Debt - Pension Obligation Bonds49,810 Accrued Closure / Post Closure Liability

36,419 378,513 341,692 948,567 Total Liabilities

Equity (Deficit) and Other Credits:1,273 20,738 Contributed Capital

381,430 381,430 Investment in General Fixed AssetsRetained Earnings (Deficit) :

971 20,907 Reserved (Note lll K)(8,376) 62,106 Unreserved

Fund Balance:684,255 814,548 Reserved (Note lll L)

Unreserved:43,045 Designated (Note lll L)25,189 Undesignated

(6,132) 684,255 381,430 1,367,963 Total Equity (Deficit) and Other Credits

$ 30,287 $ 1,062,768 $ 381,430 $ 341,692 $ 2,316,530 Total Liabilities, Equity and Other Credits

ACCOUNT GROUPS

LIABILITIES, EQUITY (DEFICIT) AND OTHER CREDITS


19

COUNTY OF KERNCOMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCESALL GOVERNMENTAL FUND TYPESYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

TOTALSPECIAL CAPITAL DEBT (MEMORANDUM

GENERAL REVENUE PROJECTS SERVICE ONLY)REVENUES:

Taxes $ 102,899 $ 36,429 $ $ $ 139,328Licenses, Permits and Franchises 6,686 2,806 9,492Fines, Forfeitures and Penalties 12,894 4,354 17,248Revenues From Use of Money and Property 6,931 1,704 83 4,320 13,038Aid from Other Governmental Agencies 125,323 394,574 1,693 521,590Charges for Current Services 72,006 44,465 116,471Other Revenues 74,236 2,482 1,290 10,248 88,256

Total Revenues 400,975 486,814 3,066 14,568 905,423

EXPENDITURES:Current:

General Government 65,959 502 66,461Public Protection 160,230 103,829 83 264,142Health and Sanitation 94,066 63,296 157,362Public Assistance 34,710 274,860 309,570Education 7,412 37 7,449Recreation and Cultural Services 9,440 9,440Public Ways and Facilities 5,430 18,764 24,194

Capital Outlay 2,144 221 6,113 8,478Debt Service:

Principal 49 8,030 8,079Interest 43 13,547 13,590

Total Expenditures 379,483 461,007 6,113 22,162 868,765

Excess Deficiency of Revenues Over (Under) Expenditures 21,492 25,807 (3,047) (7,594) 36,658

OTHER FINANCING SOURCES (USES):Operating Transfers In 270 130 2,024 5,605 8,029Operating Transfers Out (18,718) (1,283) (12) (4,778) (24,791)Inception of Capital Leases 2,144 221 2,365Proceeds of Long Term Debt 16,815 16,815

Total Other Financing Sources (Uses) (16,304) (932) 2,012 17,642 2,418

Excess (Deficiency) of Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 5,188 24,875 (1,035) 10,048 39,076

Fund Balance, July 1, 1999 57,010 33,661 (1,070) 70,150 159,751

Residual Equity Transfer from (to) Other Funds (300) (300)

Fund Balance, June 30, 2000 $ 61,898 $ 58,536 $ (2,105) $ 80,198 $ 198,527


20

COUNTY OF KERNCOMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCESBUDGET AND ACTUAL ON BUDGETARY BASISGENERAL FUND, CERTAIN SPECIAL REVENUE FUNDS, CERTAIN CAPITAL PROJECTS FUNDS AND CERTAIN

DEBT SERVICE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS) Page 1 of 4

Actual on VarianceBudgetary Favorable

Budget Basis (Unfavorable)

REVENUES:Taxes $ 95,796 $ 102,899 $ 7,103Licenses, Permits and Franchises 6,572 6,686 114Fines, Forfeitures and Penalties 12,903 12,894 (9)Revenues from Use of Money and Property 6,262 6,931 669Aid from Other Governmental Agencies 140,954 125,320 (15,634)Charges for Current Services 72,705 72,006 (699)Other Revenues 78,462 74,297 (4,165)

Total Revenues 413,654 401,033 (12,621)


General Government 79,988 70,917 9,071Public Protection 167,924 163,981 3,943Health and Sanitation 99,133 94,821 4,312Public Assistance 39,568 37,249 2,319Education 8,019 7,908 111Recreation and Cultural Activities 10,062 9,903 159Public Ways and Facilities 5,430 5,430Reserve 2,602 2,602

Debt Service:Services & Supplies 171 162 9Other Charges 382 382Principal 49 49Interest 43 43

Total Expenditures 413,371 390,463 22,908

Excess (Deficiency) of Revenues Over Expenditures 283 10,570 10,287

OTHER FINANCING SOURCES (USES):Operating Transfers In 270 270Operating Transfers Out (18,588) (18,718) (130)

Total Other Financing Sources (Uses) (18,588) (18,448) 140

Excess (Deficiency) of Revenues and Other Financing Sources Over

Expenditures and Other Financing Uses (18,305) (7,878) 10,427

Fund Balance (Deficit), July 1, 1999 57,010 57,010

Residual equity transfers from (to) Other Funds (300) (300)

Fund Balance (Deficit), June 30, 2000 $ 38,705 $ 48,832 $ 10,127

GENERAL


21

COUNTY OF KERNCOMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCESBUDGET AND ACTUAL ON BUDGETARY BASIS (CONTINUED)GENERAL FUND, CERTAIN SPECIAL REVENUE FUNDS, CERTAIN CAPITAL PROJECTS FUNDS AND CERTAIN




REVENUES:Taxes $ 33,606 $ 36,430 $ 2,824Licenses, Permits and Franchises 3,761 2,806 (955)Fines, Forfeitures and Penalties 3,445 4,355 910Revenues from Use of Money and Property 647 1,704 1,057Aid from Other Governmental Agencies 446,796 394,572 (52,224)Charges for Current Services 38,909 44,465 5,556Other Revenues 7,287 2,471 (4,816)

Total Revenues 534,451 486,803 (47,648)


General GovernmentPublic Protection 109,761 106,963 2,798Health and Sanitation 71,728 69,956 1,772Public Assistance 334,475 291,660 42,815Education 38 37 1Public Ways and Facilities 32,167 26,077 6,090


Excess (Deficiency) of Revenues Over Expenditures (13,718) (7,890) 5,828

OTHER FINANCING SOURCES (USES):Operating Transfers Out (1,153) (1,153)Proceeds from Issuance of Debt 275 12 (263)

Total Other Financing Sources (Uses) 275 (1,141) (1,416)





CERTAIN SPECIAL REVENUE FUNDS


22





REVENUES:Revenues From Use of Money $ $ 82 $ 82Aid from Other Governmental Agencies 7,119 1,693 (5,426)Other Revenues 3,450 1,290 (2,160)

Total Revenues 10,569 3,065 (7,504)


General Government 31,577 21,968 9,609Capital Outlay



OTHER FINANCING SOURCES (USES):Operating Transfers In 2,025 2,025Operating Transfers Out (12) (12)

Total Other Financing Sources (Uses) 2,013 2,013



Fund Balance (Deficit), July 1, 1999 (1,082) (1,082)

Fund Balance (Deficit), June 30, 2000 $ (22,090) $ (17,972) $ 4,118

CERTAIN CAPITAL PROJECTS FUNDS


23


DEBT SERIVICE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS) Page 4 of 4



REVENUES:Revenues from Use of Money and Property $ 1,901 $ 2,840 $ 939Other Revenue

Total Revenues 1,901 2,840 939


General Government 2,114 502 1,612Public Protection 345 83 262

Total Expenditures 2,459 585 1,874

Excess (Deficiency) of Revenues Over Expenditures (558) 2,255 2,813

OTHER FINANCING SOURCES (USES):Operating Transfers In 12 12Operating Transfers Out (9,534) (2,484) 7,050

Total Other Financing Sources (Uses) (9,534) (2,472) 7,062


Expenditures and Other Financing Uses (10,092) (217) 9,875



CERTAIN DEBT SERVICE FUNDS


24

COUNTY OF KERN COMBINED STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS (DEFICIT)ALL PROPRIETARY FUND TYPESYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Internal TotalEnterprise Service (Memorandum Only)

OPERATING REVENUES:Patient Services $ 141,144 $ $ 141,144Charges for Current Services 16,929 62,617 79,546Use of Property 2,106 2,106Other Operating Revenues 3,406 1,243 4,649

Total Operating Revenues 163,585 63,860 227,445

OPERATING EXPENSES:Salaries and Employee Benefits 79,116 2,183 81,299Services and Supplies 59,187 8,777 67,964Claims Incurred 50,634 50,634Other Charges 3,807 4,446 8,253Depreciation Expense 6,313 515 6,828

Total Operating Expenses 148,423 66,555 214,978

Operating Income (Loss) 15,162 (2,695) 12,467

NON-OPERATING REVENUES (EXPENSES):Taxes and Assessments 17,306 17,306Fines, Forfeitures and Penalties 386 386Licenses, Permits and Franchises 4 4Interest on Bank Deposits and Investments 5,429 1,310 6,739Aid from Other Governmental Agencies 34,706 85 34,791Health Care Expense (68,434) (68,434)Interest Expense (2,167) (2,167)Other Non-Operating Revenues 4,169 299 4,468Loss on Sale of Fixed Assets (196) (6) (202)

Total Non-Operating Revenues (Expenses) (8,797) 1,688 (7,109)

Income (Loss) before Operating Transfers 6,365 (1,007) 5,358

Operating Transfers In 16,763 16,763

Net Income (Loss) 23,128 (1,007) 22,121

Add: Depreciation on Contributed Assets 164 164Add: Basis of Contributed Asset Disposed of 25 25

Increase (Decrease) in Retained Earnings 23,128 (818) 22,310

Retained Earnings (Deficit), July 1, 1999 67,290 (6,587) 60,703

Retained Earnings (Deficit), June 30, 2000 $ 90,418 $ (7,405) $ 83,013

PROPRIETARY FUND TYPES


25

COUNTY OF KERNCOMBINED STATEMENT OF CASH FLOWSALL PROPRIETARY FUND TYPESYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Internal TotalsEnterprise Service (Memorandum Only)

CASH FLOWS FROM OPERATING ACTIVITES:

Cash Received for Patient/Current Services $ 167,140 $ 62,617 $ 229,757Cash Received for Use of Property 2,106 2,106Cash Received for Other Operations 7,741 299 8,040Cash Paid for Salaries and Employee Benefits (81,049) (2,201) (83,250)Cash Paid for Services and Supplies (46,285) (8,383) (54,668)Cash Paid for Reported Claims (47,439) (47,439)Cash Paid for Other Charges (6,086) (4,446) (10,532)

Net Cash Provided (Used) by Operating Activities 43,567 447 44,014

CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES:

Cash Received from Other Funds 16,763 16,763Taxes and Special Assessments 17,259 17,259Fines, Forfeitures and Penalties 387 387Licenses and Permits 4 4Loans Paid (545) (545)Aid from Other Governmental Agencies 34,023 85 34,108Health Care Expense (68,434) (68,434)

Net Cash Provided (Used) by Non-Capital Financing Activities (543) 85 (458)

CASH FLOWS FROM CAPITAL & RELATED FINANCIAL ACTIVITIES:

Acquisition or Construction of Capital Assets (8,598) (622) (9,220)Payment of Long Term Debt- Certificates of Participation (3,160) (3,160)Payment of Capital Lease (40) (40)Interest Paid on Long Term Debt (2,167) (2,167)Proceeds from Issuance of Certificates of Participation 13,655 13,655Proceeds From Sale of Fixed Assets 20 20

Net Cash Provided (Used) by Capital and Related Financing Activities (310) (602) (912)

CASH FLOWS FROM INVESTING ACTIVITIES:

Interest on Bank Deposits and Investments 4,887 1,222 6,109

Net Cash Provided by Investing Activities 4,887 1,222 6,109

Net Increase (Decrease) in Cash and Cash Equivalents 47,601 1,152 48,753

Cash and Cash Equivalents at Beginning of Year, July 1, 1999 81,828 24,145 105,973

Cash and Cash Equivalents at End of Year, June 30, 2000 $ 129,429 $ 25,297 $ 154,726

CASH AND CASH EQUIVALENTS AT END OF YEAR:

Pooled Cash and Investments $ 110,535 $ 25,297 $ 135,832Cash and Cash Equivalents Deposited with Trustee 18,882 18,882Revolving Fund Cash 12 12

$ 129,429 $ 25,297 $ 154,726



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COUNTY OF KERNCOMBINED STATEMENT OF CASH FLOWSALL PROPRIETARY FUND TYPES (CONTINUED)YEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Internal TotalsEnterprise Service (Memorandum Only)

RECONCILIATION OF OPERATING INCOME (LOSS) TONET CASH PROVIDED (USED) BY OPERATING ACTIVITIES:

Operating Income (Loss) $ 15,162 $ (2,695) $ 12,467

Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities:

Other Non-Operating Revenues 4,356 299 4,655Depreciation 6,313 515 6,828

(Increase) Decrease in:Accounts Receivable 9,101 9,101Inventory (94) (4) (98)Accrued Revenue 13 13Prepaid Items 11,676 54 11,730

Increase (Decrease) in:Accrued Expenses 1,447 344 1,791Due to Others (66) 27 (39)Salaries & Benefits Payable 589 (2) 587Compensated Absences Payable 384 (16) 368Provision for Liability Claims (3,036) 1,925 (1,111)Closure/Post Closure Liability (2,278) (2,278)

Total Adjustments 28,405 3,142 31,547

Net Cash Provided (Used) by Operating Activities $ 43,567 $ 447 $ 44,014

NON-CASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES

Residual Equity Transfers (To) From Other Funds $ 300 459 $ 759Fixed Assets Acquired by Capital Lease or Long-Term Obligations 925 925

Total Non-Cash Investing, Capital, and Financing Activities $ 1,225 $ 459 $ 1,684



27

COUNTY OF KERNSTATEMENT OF NET ASSETSINVESTMENT TRUST FUNDYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

INVESTMENT

Cash and Cash Equivalents $ 819,857Total Cash and Cash Equivalents 819,857

Receivables:Interest and Dividends Receivable 6,422Contributions and Other Receivables 756

Total Receivables 7,178

Fixed Assets, Net of Accumulated Depreciation 3

Total Assets 827,038

Warrants Payable 139,548Accounts Payable 1,827Due to Other Funds 1,408

Total Liabilities 142,783

Net Assets Held in Trust for Pool Participants $ 684,255

ASSETS

LIABLITIES

28

COUNTY OF KERNNOTES TO GENERAL PURPOSE FINANCIAL STATEMENTSYear Ended June 30, 2000

29

I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A. REPORTING ENTITY

The County of Kern (the "County") was established April 2, 1866, as a legal subdivision ofthe State of California charged with general governmental powers. The County is governedby an elected five member Board of Supervisors.

As required by generally accepted accounting principles, these financial statements presentthe County as the primary government and its component units, entities for which theCounty is considered financially accountable. Blended component units, although legallyseparate entities, are in substance part of the County’s operations and so data from theseunits are combined with data of the County. Using the criteria of Governmental AccountingStandards Board (GASB) Statement No. 14, “The Financial Reporting Entity,” managementhas determined that the following component units should be blended:

County Service Areas (CSAs)The County’s Board of Supervisors is the governing body of the CSAs. Among itsduties, the Board approves the CSAs’ budgets, approves parcel fees and appointsthe management. The CSAs component unit is reported as a special revenue fund.

Golf Courses and Sanitation DistrictsThe governing body of the Sanitation Districts and the Golf Courses is the County’sgoverning body. The Board of Supervisors approves the budget and appoints themanagement of these entities, which are reported as enterprise funds.

The County of Kern Asset Leasing CorporationAlthough this component unit has its own governing body, it provides servicesexclusively to the County. It is reported as a debt service fund in these statements.This non-profit entity holds the general fixed assets constructed through theCertificates of Participation Program. Equipment and construction costs related toproprietary funds are recorded within each appropriate enterprise fund, and anycash related to the Certificates of Participation is designated as deposits withtrustee. (See Note III. I)

Each blended component unit has a June 30 year-end. Additional detailed information forthese entities can be obtained from the Kern County Auditor-Controller-County Clerk at 1115Truxtun Ave., Bakersfield, California 93301. The County has no discretely presentedcomponent units.

Trust and Agency Funds

The Kern County Employees’ Retirement Association (K.C.E.R.A.) became independent fromthe County’s supervision and control as a result of the 1992 passage of Proposition 162,which legally established their independent control. Accordingly, K.C.E.R.A. is not considereda component unit of the County, and is not included in these financial statements. Separateaudited financial statements are available from K.C.E.R.A.


30

I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

A. REPORTING ENTITY (continued)

Trust and Agency Funds (continued)

Activities of cities, school districts and other special districts administered by boards separatefrom and independent of the County Board of Supervisors are not included. The CountyBoard of Supervisors has no effective authority to govern, manage, approve budgets orassume financial responsibility for these entities. However, assets held by the County in itscapacity as an agent for these entities are included as Trust and Agency funds.

B. MEASUREMENT FOCUS, BASIS OF ACCOUNTING AND BASIS OF PRESENTATION

The accounts of the County are organized on the basis of funds and account groups, eachof which is considered a separate accounting entity. The operations of each fund areaccounted for with a separate set of self-balancing accounts that comprise its assets,liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Governmentresources are allocated to and accounted for in individual funds based upon the purposesfor which they are to be spent and the means by which spending activities are controlled.The various funds are grouped in the financial statements in this report into three broadcategories, seven generic fund types, and two account groups:

Governmental Proprietary Fiduciary Account GroupsGeneral Enterprise Investment Trust General Fixed Assets

Special Revenue Internal Service Agency General Long-Term DebtCapital Projects

Debt Service

Governmental Funds are used to account for the County’s general government activities.Governmental fund types use the flow of current financial resources measurement focus andthe modified accrual basis of accounting. Under the modified accrual basis of accounting,revenues are recognized when susceptible to accrual (i.e., when they are “measurable andavailable”). “Measurable” means the amount of the transaction can be determined and“available” means collectible within the current period or soon enough thereafter to payliabilities of the current period. The County considers all revenues available if they arecollected within 60 days after year-end. Expenditures are recorded when the related fundliability is incurred, except for unmatured interest on general long-term debt which isrecognized when due, and certain compensated absences and claims and judgments whichare recognized when the obligations are expected to be liquidated with expendable availablefinancial resources. Property taxes, franchise taxes, licenses, interest and specialassessments are susceptible to accrual. Sales taxes collected and held by the state at year-end on behalf on the County are also recognized as revenue. Other receipts and taxesbecome measurable and available when cash is received and recognized as revenue at thattime. Governmental funds include the following fund types:


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B. MEASUREMENT FOCUS, BASIS OF ACCOUNTING AND BASIS OF PRESENTATION (continued)

Governmental Funds (continued)

General FundThe General Fund is the general operating fund of the County. It is used to accountfor all financial resources except those required to be accounted for in another fund.Principal sources of revenue are: taxes; licenses, permits and franchises; fines,forfeitures and penalties; use of money and property; aid from other governmentalagencies; and charges for current services. Primary expenditures are for generalgovernment; public protection; health and sanitation; public assistance; education;recreation and cultural services; and capital leases.

Special Revenue FundsThese funds account for revenues derived from specific taxes or other designatedrevenue sources. Primary revenue sources are: taxes; fines, forfeitures andpenalties; use of money and property; aid from other governmental agencies; andcharges for current services. Expenditures are made only for specific activitieslegally authorized to be financed from the individual funds.

Capital Projects FundsThese funds are used to account for financial resources designated for theacquisition or construction of major capital facilities other than those financed byEnterprise or Internal Service funds.

Debt Service FundsThese funds are used to account for the accumulation of resources for, and thepayment of, general long-term debt principal, interest and related costs.

Proprietary Funds are accounted for on the flow of economic resources measurementfocus and use the accrual basis of accounting. Under this method, revenues are recordedwhen earned and expenses are recorded at the time liabilities are incurred. Depreciation ofall exhaustible fixed assets used by proprietary funds is charged as an expense againstoperations. Accumulated depreciation is reported on proprietary fund balance sheets.Depreciation has been provided over estimated useful lives of the proprietary fund fixedassets using the straight-line method. The County applies all applicable FASBpronouncements issued on or prior to November 30, 1989 and all GASB recommendationsin accounting and reporting for its proprietary operations. Proprietary funds include thefollowing fund types:


32



Proprietary Funds (continued)

Enterprise FundsThese funds are used to account for operations: (a) that are financed and operatedin a manner similar to private business, where the intent of the Board of Supervisorsis that the costs (expenses, including depreciation) of providing goods or servicesto the general public on a continuing basis be financed or recovered primarilythrough user charges, or (b) where the governing body has decided that periodicdetermination of revenues earned, expenses incurred, and/or net income isappropriate for capital maintenance, public policy, management control,accountability, or other purposes.

Internal Service FundsThese funds are used to account for the financing of self-insurance, and other costsfor services or goods provided by the County to departments or agencies of theCounty, or to other governments, on a cost-reimbursement basis.

Fiduciary FundsTrust and Agency Funds are used to account for assets held by the County in a trusteecapacity or as an agent for individuals, other governmental units, or other funds. Theseinclude Investment Trust and Agency Funds. Investment Trust Funds are accounted for inessentially the same manner as proprietary funds since capital maintenance is critical tosuccessful ongoing operations. Agency funds are custodial in nature and do not presentresults of operations of the County or have a measurement focus.

Account GroupsThe accounting and reporting treatment applied to the fixed assets and long-term liabilitiesassociated with a fund are determined by its measurement focus. All governmental fundsare accounted for on a spending or "financial flow" measurement focus. This means thatonly current assets and current liabilities are generally included on their balance sheets.Their reported fund balance (net current assets) is considered a measure of “availablespendable resources.” Governmental fund operating statements present increases (revenuesand other financing sources) and decreases (expenditures and other financing uses) in netcurrent assets. Accordingly, operating statements are said to present a summary of sourcesand uses of “available spendable resources” during a period. Therefore, the governmentalfund types fixed assets and long-term debt are accounted for in the following two accountgroups:

General Fixed Assets Account GroupFixed assets used in governmental fund type operations (general fixed assets) areaccounted for in the General Fixed Assets Account Group rather than ingovernmental funds.


33



Account Groups (continued)

General Fixed Assets include capitalized construction costs related to governmentalfund projects financed by Certificates of Participation through the County of KernAsset Leasing Corporation. No depreciation is provided on general fixed assets.Infrastructure items such as road construction and improvements are not capitalizedin this account group.

All fixed assets are valued at historical cost or estimated historical cost if actualhistorical cost is not available. Donated fixed assets are valued at their estimatedfair market value on the date donated.

General Long-Term Debt Account GroupThis account group is established to account for all long-term debt of the County'sgovernmental funds. The long-term debt of the County is made up of compensatedabsences (accumulated vacation and sick leave), future commitments for leasepurchases of equipment, Certificates of Participation, Facility Lease, Loans Payable,and Pension Obligation Bonds.

The fixed assets and long-term debt account groups are not "funds”. They are concernedonly with the measurement of financial position and are not involved with measurement ofresults of operations.

C. ASSETS, LIABILITIES, AND EQUITY

Cash and Cash EquivalentsAll amounts reported to be cash and cash equivalents represent cash or short term, highlyliquid investments with an original maturity of three months or less.

InvestmentsIn accordance with GASB 31, investments in the County Treasurer’s pooled investments arereported at fair value. Participating entities that are not part of the County’s reporting entityprepare independent financial statements which may or may not include these changes infair value. Interest earnings are distributed to all participating funds based on their averagedaily balance within the pool. The unrealized decrease in the fair value of the investmentswas recognized.

Receivables and PayablesTransactions between funds that are representative of lending/borrowing arrangementsoutstanding at the end of the fiscal year are referred to as either “loans receivable/payable”(i.e., the current portion of interfund loans) or “advances to/from other funds” (i.e., the non-current portion of interfund loans). All other outstanding balances between funds arereported as “due to/from other funds” (See note III. E for detailed reconciliation).


34


C. ASSETS, LIABILITIES AND EQUITY (continued)

Property TaxAll jurisdictions within California derive their taxing authority from the State Constitution andvarious Legislative provisions contained in the Government Code and Revenue and TaxationCode. Property is assessed at 100% of full cash or market value (with some exceptions)pursuant to Article XIII of the California State Constitution and statutory provisions by theCounty Assessor and State Board of Equalization. The total 1999-00 net assessed valuationof the County of Kern was $40,993,754,663.

The property tax levy to support general operations of the various jurisdictions is limited toone percent (1%) of full cash value and is distributed in accordance with statutory formulas.Amounts needed to finance the annual requirements of voter-approved debt are excludedfrom this limitation and are separately calculated and levied each fiscal year. The rates areformally adopted by the Board after approval of city councils or the governing boards ofspecial districts where applicable. Property taxes are levied on both real and personalproperty. Secured property taxes are levied on or before the first business day of Septemberof each year. They become a lien on real property on March 1 preceding the fiscal year forwhich taxes are levied. These tax payments can be made in two equal installments; the firstis due November 1 and delinquent with penalties after December 10; the second is dueFebruary 1, and delinquent with penalties after April 10.

Secured property taxes, which are delinquent and unpaid as of June 30, are declared to betax defaulted and are subject to redemption penalties, costs, and interest when paid. If thedelinquent taxes are not paid at the end of five (5) years, the property may be sold at publicauction. The proceeds are used to pay the delinquent amounts due, and any excess isremitted, if claimed, to the taxpayer. Unsecured personal property taxes are not a lienagainst real property. These taxes are due on March 1 and become delinquent, if unpaidon August 31.

In 1983, the Governor approved Senate Bill 813 which requires County Assessors to appraiseproperty and issue an assessment when new construction is completed or a change inownership occurs. The supplemental assessment will reflect the change in value for theremainder of the property tax year. Tax bills for these new tax liens are issued throughoutthe fiscal year and contain various payments and delinquent dates, but are generally duewithin one year. If the new tax liens are lower, the taxpayer receives a tax refund ratherthan a tax bill.

Inventory - Materials and SuppliesInventories in the General Fund, General Services - Garage Internal Services Fund, the RoadFund, the Structural Fire Fund and the Kern Medical Center Enterprise Fund consist ofexpendable supplies held for consumption. The General Fund and the Kern Medical CenterEnterprise Fund use the "moving average" method for costing inventory. The SpecialRevenue Funds, Road and Structural Fire value inventory at cost and the General Services- Garage Internal Service Fund uses the first-in, first-out method of costing inventory. Othermaterials and supplies are recorded as expenditures upon acquisition.


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C. ASSETS, LIABILITIES AND EQUITY (continued)

Inventory – Materials and Supplies (continued)

Although a component of net current assets, reported inventories are equally offset by afund balance reserve for governmental type funds indicating that they do not constitute"available spendable resources".

Fixed AssetsGeneral fixed assets are not capitalized in the governmental funds used to acquire orconstruct them. Instead, capital acquisition and construction are reflected as expendituresin governmental funds, and the related assets are reported in the general fixed assetsaccount group. All purchased fixed assets are valued at cost where historical records areavailable and donated fixed assets are valued at their estimated fair market value on thedate donated. Public domain (infrastructure) general fixed assets (e.g. roads, bridges,drainage facilities and other assets that are immovable and of value only to the County) arenot capitalized. The costs of normal maintenance and repairs that do not add to the valueof the asset or materially extend asset lives are not capitalized. Improvements arecapitalized and depreciated over the remaining useful lives of the related fixed assets, asapplicable.

Fixed assets of proprietary funds are recorded at historical cost less accumulateddepreciation. Most depreciation and amortization expense for Proprietary Funds is computedby use of the straight-line method over the estimated useful lives of the assets as follows:

Structures and Improvements 10 to 40 yearsEquipment 3 to 15 years

The General Services-Garage Internal Service fund depreciates vehicles on an estimateduseful life based on miles driven for the type of vehicle.

Compensated AbsencesUnder the terms of union contracts, County employees are granted vacation and sick leavein varying amounts depending upon their respective bargaining unit. In the event oftermination or death, an employee, or the employee's estate, is compensated for 100% ofaccumulated vacation. In the event of an employee's death or retirement, excludingdeferred retirement, an employee, or the employee's estate, is compensated foraccumulated sick leave in varying amounts from 50% to 100% depending on the employee'sbargaining unit and length of service. The value of accumulated vacation and sick leave atJune 30, 2000 was $23,430,660 and $34,731,377 respectively. The total amount ofaccumulated vacation has been recorded in the General Long-Term Debt Account Group. Ithas been determined that 50% of the available amount of accumulated sick leave,$17,365,688 should be recorded in order to reflect the County's "estimated" liability foraccumulated sick leave.


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C. ASSETS, LIABILITIES, AND EQUITY (continued)

Long-Term ObligationLong-term debt is recognized as a liability of a governmental fund when due, or whenresources have been accumulated in the debt service fund for payment early in the followingyear. For other long-term obligations, only that portion expected to be financed fromexpendable available financial resources is reported as a fund liability of a governmentalfund. The remaining portion of such obligations is reported in the general long-term debtaccount group. Long-term liabilities expected to be financed from proprietary fundoperations are accounted for in those funds.

Fund EquityReservations of fund balance represent amounts that are not appropriable or are legallysegregated for a specific purpose. Reservations of retained earnings are limited to outsidethird-party restrictions. Designations of fund balance represent tentative plans for future useof financial resources. Contributed capital is recorded in proprietary funds that have receivedcapital grants or contributions from developers, customers or other funds.

Total Columns on Combined StatementsTotal columns on the Combined Statements are captioned "Memorandum Only" to indicatethat they are presented only to facilitate financial analysis. Data in these columns do notpresent financial position, results of operations, or changes in cash flows in conformity withgenerally accepted accounting principles nor is such data comparable to a consolidation.Interfund eliminations have not been made in the aggregation of this data.

Comparative DataMaterial changes in accounting presentation are described as follows:

Changes in Accounting PresentationThe Aging and Adult Services department was accounted for within the General Fundin the prior year and has been reclassified with the approval of the Board ofSupervisors as a Special Revenue Fund.


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II. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY

A. BUDGETARY INFORMATION

In accordance with the provisions of Sections 29000 through 29144 of the CaliforniaGovernment Code and other statutory provisions, commonly known as the County BudgetAct, the County prepares and legally adopts a budget on or before August 30 for each fiscalyear. Annual budgets are adopted on a basis consistent with generally accepted accountingprinciples for all governmental funds except that such budgets integrate the County’sencumbrance system and accordingly, they differ from budgets prepared in accordance withgenerally accepted accounting principles in this regard. In addition, capital leases arebudgeted for the current annual portion, and, under generally accepted accountingprinciples, the full amount of the leased asset purchased is required to be recorded as anexpenditure in the year purchased.

Annual Budgets are not adopted for the Public Improvement Districts Special Revenue Fund,the Accumulative Capital Outlay-Road Capital Projects Fund, and the County of Kern AssetLeasing, Public Health Facility Loan Trustee, and Pension Obligation Trustee Debt ServiceFunds, and accordingly, these funds are not included in the accompanying CombinedStatement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actualon Budgetary Basis. However, these funds are included in the Combined Statement ofRevenues, Expenditures and Changes in Fund Balances.

The County controls expenditures from non-budgeted funds primarily by monitoring cashbalances throughout its integrated accounting and warrant writing system. Non-budgeteddebt service payments are determined by the terms of bond indentures.

The aggregated County budget is an accumulation of current operating budgets within theGeneral, Special Revenue, Debt Service and Capital Projects Fund operations. The Countyalso prepares annual budgets for its Enterprise and Internal Service Fund activities; however,such budgets are not presented in the accompanying general purpose combined financialstatements since such comparison would make evaluation of the accrual basis of accountingfunds unduly complex. In 1984, Kern County voters passed Measure "A" which requires thatall budgetary transactions be approved by a 4/5 vote of the Board of Supervisors.

The County budgets by fund and object within the Special Revenue and Capital ProjectsFunds. Budgetary control in the General Fund is exercised at the department level by object.The legal level of control is at the major object level - Salaries and Employee Benefits,Services and Supplies, Other Charges, Fixed Assets, and Expenditure Transfers andReimbursements. The dollar amount limitation effectively lowers the legal level of budgetarycontrol to the object level. There are no material excess expenditures over the relatedappropriations in any object level within any fund. Budget amounts, as reported, representadjusted figures at year-end. Transfers of appropriations between departments must beapproved by the Board. Supplemental appropriations necessary and normally financed byunanticipated revenue during the year must also be approved by the Board. UnanticipatedRevenues of $89,518,311 have been added to appropriations in the General Fund during thefiscal year.


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II. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY (continued)

A. BUDGETARY INFORMATION (continued)

Transfers of appropriations between objects of expenditures within the same budget unitmust be approved by the Board or the County Administrative Office, depending upon theamount transferred. Budget amounts reported in the accompanying financial statements areas amended. Any excess of budgetary expenditures and other financing uses over revenuesand other financing sources is financed by beginning available fund balances as provided forin the County Budget Act.

A comparison of the budgeted and actual revenues and expenditures is presented on abudgetary basis in the financial section. The County also prepares a separate Final Budgetdocument at the object level which is made available to the public by the Auditor-Controller’soffice.

Encumbrances, which are commitments related to executory contracts for goods or services,are recorded for budgetary control purposes in the General Fund, Special Revenue andCapital Projects Funds. Encumbrance accounting is utilized to assure effective budgetarycontrol and accountability. Encumbrances outstanding at year-end represent the estimatedamount of expenditures ultimately to result if the contracts in process at year-end arecompleted. Unencumbered appropriations lapse at year-end and encumbrances outstandingat that time are reported as reservations of fund balance for subsequent year expenditures.

B. RECONCILIATION OF BUDGETARY BASIS TO GAAP BASIS

The annual County budget is prepared, approved and adopted in accordance with provisionsof the County Budget Act. In preparing the budget, the County utilizes a basis of accountingwhich is different from the basis prescribed by generally accepted accounting principles(“GAAP”). The accompanying Combined Statement of Revenues, Expenditures and Changesin Fund Balances - Budget and Actual on Budgetary Basis - General Fund, certain SpecialRevenue Funds, certain Capital Projects Funds and certain Debt Service Funds presentscomparisons of the legally adopted budget with actual data on a budgetary basis. Thefollowing adjustments are necessary to provide a meaningful comparison of the actualresults of operation with the budget (in thousands):


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B. RECONCILIATION OF BUDGETARY BASIS TO GAAP BASIS (continued)

GeneralFund

SpecialRevenueFunds

CapitalProjectsFunds

DebtServiceFunds

Fund Balance (budgetary basis) $ 48,832 $ 24,630 $ (17,972) $ 44,266

Capital Lease –Inceptions (2,144) (221)Capital Lease –Other FinancingSource 2,144 221

Outstandingencumbrances forbudgeted funds 13,066 33,906 15,855

Fund Balance ofnon-budgetedfunds 12 35,932

Fund Balance(modified accrualbasis) $ 61,898 $ 58,536 $ (2,105) $ 80,198

C. DEFICIT FUND BALANCES/NEGATIVE RETAINED EARNINGS

The following funds have total deficit fund balances/total negative retained earnings, asappropriate at June 30, 2000 (in thousands):

Special Revenue Funds:Employer’s Training Resource $ (1,777)Public Improvement District (1)Total Special Revenue Funds $ (1,778)

Capital Projects Funds:Separation of Grade $ (2,928)

Internal Service Funds:Group Health $ (594)General Liability (3,630)Workers’ Compensation (17,130)Total Internal Service Funds $ (21,354)


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C. DEFICIT FUND BALANCES/NEGATIVE RETAINED EARNINGS (continued)

The deficit fund balances in the Employers’ Training Resource and Public ImprovementDistrict Special Revenue Funds and Separation of Grade Capital Projects Fund are the resultof the non-recognition of award monies yet to be received from the Federal or Stategovernments, but for which program expenditures and encumbrances have been recognized.The Group Health, General Liability and Workers’ Compensation negative retained earningsrepresent liabilities incurred as a result of self-insurance.

III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS

A. CASH AND INVESTMENTS

Cash and DepositsAs provided for by the Government Code, the cash balances of substantially all funds arepooled and invested by the County Treasurer for the purpose of increasing interest earningsthrough investment activities. The respective funds' shares of the total pooled cash andinvestments are included in the accompanying combined balance sheet under the caption"Pooled Cash and Investments”. In accordance with GASB Statement No. 3, all bankbalances are categorized as covered by federal depository insurance or collateralized by theCounty’s agent in the County’s name. Interest earned on pooled investments is depositedto the participating funds based upon each fund’s average daily deposit balance during theallocation period with all remaining interest deposited to the General Fund.

County deposits are categorized as follows (see schedule under “Investments”):

Category 1 Insured or collateralized with securities held by the County or its agent inthe County’s name.

Category 2 Collateralized with securities held by the pledging financial institution’s trustdepartment or agent in the County’s name.

Category 3 Uncollateralized, including any bank balance that is collateralized withsecurities held by the pledging financial institution or by its trust departmentor agent, but not in the County’s name.

Cash and Investments Deposited with TrusteeThe June 30, 2000 balance of Cash and Investments Deposited with Trustee consists of thefollowing:

Cash $ 13Money Market Accounts 13,066,453Investment Agreements 39,814,289Federal Agency 1,933,278

Total Cash and Investments Deposited with Trustee $ 54,814,033


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III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (continued)

A. CASH AND INVESTMENTS (continued)

Cash and Investments Deposited with Trustee (continued)

$54,814,033 of the balance relates to construction debt refinancing and equipmentacquisition funds from certificates of participation held by the trustee for Kern County AssetLeasing Corporation and are reported in the Kern Asset Leasing Debt Service Fund and theGolf Course, Kern Medical Center and Waste Management Enterprise Funds.

The balance reported in the Pension Obligation Bond Trustee Debt Service Fund relates tomonies held in a trust account with U.S. Bank. This account is used to service debtpayments related to the County’s pension obligation bonds.

The invested portion on deposit with the trustee has been categorized for risk under theinvestment classifications in accordance with the Governmental Accounting Standards BoardStatement 3. (See schedule under “Investments”)

InvestmentsStatutes authorize the County to invest in obligations of the United States Treasury, Federalagencies, municipalities, commercial paper rated A-1 by Standard & Poor's Corporation orP-1 by Moody's Commercial Paper Record, and bankers' acceptances. The County of KernInvestment Pool is subject to regulatory oversight by the Treasury Oversight Committee, asrequired by California Government Code Section 27143. The County has not provided norobtained any legally binding guarantees during the fiscal year ended June 30, 2000 tosupport the value of the shares in the Pool. However, management believes that theinvestments in the Pool are of high quality and that the risk of participation in the Pool isnegligible.

Certain agencies outside of the County reporting entity participate in the Pool. Theparticipation of these agencies is externally mandated. The participants reported under theInvestment Trust Fund are school and special districts and special assessments. As of July1, 1997, the County implemented GASB Statement No. 31, Accounting and FinancialReporting For Certain Investments and for External Investment Pools. In accordance withthis statement, the fair value of the County’s combined pool is determined annually and isbased on current market prices received from the securities custodian except forgovernmental securities and bankers acceptances which are carried at amortized cost plusaccrued interest.

The County’s investment in the Local Agency Investment Fund (LAIF) is $81,325. A total of$43,453,950,163 is invested by all public agencies in LAIF. The Local investment AdvisoryBoard (Board) has oversight responsibility for LAIF. The Board consists of five membersdesignated by State Statute. The Chairman is the State Treasurer or his designatedrepresentative. The value of the pool shares in LAIF, which may be withdrawn, isdetermined on an amortized cost basis, which is different than the fair value of the County’sposition in the Pool.


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A summary of the investments held in the Pool is as follows (in thousands):

Investments (continued)

Interestrate

Investment Fair Value Principal % Range Maturity Range

Bankers Acceptance $ 33,023 $ 33,040 5.80 - 6.67 7/24/00 - 11/27/00Commercial Paper 153,594 153,401 6.52 - 682 7/03/00 - 7/31/00Fed Agency Issues (Coupon) 299,570 302,415 4.65 - 6.85 7/03/00 - 11/2/04State Treasury’s Pool (LAIF) 81 81 5.8 7/01/00Asset Backed Securities 144,936 147,378 5.38 - 8.25 8/15/00 - 9/16/03Medium Term Notes 190,951 195,843 5.15 - 8.25 10/23/00 - 2/1/05Negotiable CDs 186,930 186,966 5.72 - 6.05 7/03/00 -12/29/00Treasury Securities 25,016 25,350 5.50 - 7.25 3/31/01 - 08/15/04Fed Agency Issues (Discount) 42,066 42,067 5.88 - 6.52 7/05/00 - 9/15/00State and Local Securities 5,052 5,168 8.15 9/01/01Bank Accounts 127,483 127,483Totals $ 1,208,702 $ 1,219,192

The following represents a condensed statement of net assets and changes in net assets forthe Pool as of June 30, 2000 (in thousands):

Statement of Net AssetsTotal Assets Held for Pool Participants $ 1,208,702Less: Warrants Payable 155,208

Pool Equity, Net $ 1,053,494

Equity of Internal Pool Participants $ 369,239Equity of External Pool Participants (Voluntary and Involuntary) 684,255

Total Equity $ 1,053,494

Statement of Changes in Net AssetsNet Assets at July 1, 1999 $ 1,190,688Net Changes in Investments by Pool Participant (137,194)

Net Assets at June 30, 2000 $ 1,053,494

Category 1 Insured or registered, or securities held by the County or its agent in theCounty’s name.

Category 2 Uninsured and unregistered, with securities held by the counterparty’s trustdepartment or agent in the County’s name.


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Investments (continued)

Category 3 Uninsured and unregistered, with securities held by the counterparty in theCounty’s name, or by its trust department or agent, but not in the County’sname.

In the following schedule, bank deposits are reported based upon balances as of the end ofthe fiscal year and investments are reported at the County’s book balance.

Risk CategoryInvestments 1 2 3 Noncategorized Fair Value

Negotiable CD’s $ 186,930 $ $ $ $ 186,930Commercial Paper 153,594 153,594Bankers Acceptance 33,023 33,023U.S. Treasury Securities 25,016 25,016Federal Agency Issues 341,636 341,636Medium Term Notes 190,951 190,951Asset Backed Securities 144,936 144,936State And Local Securities 5,052 5,052Accrued Interest at Purchase 1,541 1,541State Treasurer’s Pool (LAIF) 81 81

Investment Subtotal 1,082,679 81 1,082,760

Deposits

Cash in BankIssued, Collateralized Pool 98,213 98,213

Total Cash in Bank 98,213 98,213

Short Term Investments withFiscal Agent 27,616 27,616

Deposits Subtotal 98,213 27,616 125,829

Investments and DepositsSubtotal 1,180,892 27,697 1,208,589

Cash on Hand 113 113

Total Deposits and Investments $ 1,180,892 $ $ $ 27,810 $ 1,208,702

Investments Deposited withTrustee $ $ $ 41,747 $ 13,067 $ 54,814


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B. ACCOUNTS RECEIVABLE AND DUE FROM OTHER AGENCIES

Receivables at June 30, 2000 consist of the following (in thousands):

SpecialRevenue Enterprise Agency Total

Total Gross $ 110 $ 62,451 $ 909 $ 63,470

IntergovernmentalAccounts 130 4,806 4,936

Allowance forUncollectables 46,139 46,139

Net Receivables $ 110 $ 16,442 $ 5,715 $ 22,267

C. DEPOSITS WITH OTHERS

The County has total deposits with others of $840,333. The General Fund has deposited$205,273 with the City of Bakersfield for the construction of an overpass on BakersfieldUnion Avenue pursuant to the joint agency agreement between the County, the City ofBakersfield, and the Greater Bakersfield Separation of Grade District. The remaining$635,060 represents deposits by the Group Health Self-Insurance Internal Service Fund withits designated claim administrators; such amount has been determined by administrators forthe County to be representative of one month's billings.

D. FIXED ASSETS

The following is a summary of changes in the General Fixed Asset Account Group for theyear ended June 30, 2000 (in thousands):

Assets:July 1,1999 Additions Deletions

June 30,2000

Land $ 19,295 $ 20 $ 11 $ 19,304Structures and Improvements 285,640 8,389 2,700 291,329

Equipment 65,129 3,608 2,493 66,244Construction inProgress 5,399 5,176 6,022 4,553

Total Assets $ 375,463 $ 17,193 $ 11,226 $ 381,430

Deletions include residual equity transfers to the General Services – Garage Internal ServiceFund and disposals.


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D. FIXED ASSETS (continued)

The following is a summary of Proprietary Fund fixed assets by class as of June 30, 2000 (in thousands):

Enterprise Internal ServiceLand $ 17,181 $Subsurface Lines 4,368Structures and Improvements 111,276Equipment 38,870 5,643Land Acquisition in Progress 68Construction in Progress 2,878Total 174,641 5,643

Less: Accumulated Depreciation (60,256) (2,116)

Net Property, Plant and Equipment $ 114,385 $ 3,527

E. INTERFUND TRANSACTIONS AND BALANCES

Due To/From Other Funds at June 30, 2000 are as follows (in thousands):

Due from Other Funds Due to Other Funds

General Fund $ 5,878 $Special Revenue Funds: Community Development 213 Employers’ Training Resource 1,927 Local Public Safety 2,695 Mental Health 1,483 D.A Family Support 260 Emergency Medical Services 99 Structural Fire 299 Other Special Revenues 270Enterprise Funds: Kern Medical Center 1,483Internal Service Funds: Workers’ Compensation 99Fiduciary Funds: State Funds - Agency 93 Other Funds - Agency 259 110 Investment Trusts 1,408

Total $ 8,288 $ 8,288


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E. INTERFUND TRANSACTIONS AND BALANCES (continued)

Loans Receivable/Payable at June 30, 2000 are as follows (in thousands):

Receivable Fund Payable Fund AmountACO – General General Fund $ 130ACO – General Airport 2,298General Fund Aging and Adult Services 1,200Other Agency Funds County Service Areas 190

TOTAL $ 3,818

Advances To/From Other Funds at June 30, 2000 are as follows (in thousands):

Receivable Fund Payable Fund AmountGeneral Fund Other Agency Funds $ 13,515General Fund Public Improvement Districts 25ACO – General Separation of Grade 4,500

TOTAL $ 18,040

Operating Transfers

Operating transfers represent ongoing operating subsidies between funds. Operatingtransfers during the year ended June 30, 2000 were as follows (in thousands):

Operating Transfers In Operating Transfers Out AmountKern Asset Leasing ACO – General $ 2,140Kern Asset Leasing ACO – Fire 344Kern Asset Leasing Structural Fire 1,283Kern Asset Leasing General 1,825Kern Medical Center General 16,763General Pension Obligation Bond Trustee 270Capital Projects – Certificates of Participation Kern Asset Leasing 1,678ACO – Fire Capital Projects – Certificates of

Participation 12Capital Projects – Public Health Facility

Debt Service – Public Health Facility Loan Trustee 346

Aging and Adult Services General Fund 130TOTAL $ 24,791


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E. INTERFUND TRANSACTIONS AND BALANCES (continued)

Residual Equity TransfersResidual equity transfers represent nonrecurring or nonroutine transfers of equity betweenfunds. Residual equity transfers are reported as an increase or decrease in the beginningfund balance for governmental fund types and contributed capital for proprietary fund types.Residual equity transfers during the year ended June 30, 2000 were as follows (inthousands):

Residual Equity Transfer In Residual Equity Transfer Out AmountAirport Enterprise Fund General Fund $ 300General Services - Garage General Fixed Asset Account Group 459

TOTAL $ 759

F. LEASES

Long-Term Operating LeasesThe County has entered into various long-term lease agreements for buildings and landwhich have been classified as operating leases. None of the leases convey rights ofownership or are of a duration approximating useful economic life. The following is aschedule of future minimum long-term operating lease payments for the GovernmentalFunds (in thousands):

Year Amount2000-01 $ 4,4062001-02 4,2912002-03 4,1852003-04 4,1042004-05 3,034Thereafter 7,948Total Minimum Lease Payments $ 27,968

Capital LeasesThe County has entered into several long-term lease purchase agreements for certain majorpieces of equipment. While the nature and intent of these leases is long term in nature,each lease provides for cancellation in the event the Board of Supervisors does notappropriate funding in subsequent fiscal years. There are no sinking fund requirementsrelated to these lease purchase agreements.

The following is a schedule of future minimum lease payments for capital leases (inthousands):


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III. DETAILED NOTES TO ALL FUNDS AND ACCOUNTS GROUPS

F. LEASES (continued)

Capital Leases (continued)

Year

General Long-Term Debt

Account GroupEnterprise

Funds2000-01 $ 3,473 $ 262001-02 1,896 262002-03 653 262003-04 384 272004-05 197Thereafter 985

Net Minimum Lease Payments 7,588 105Less amount representing interest (799) (15)

Present Value of net minimum lease payments $ 6,789 $ 90

The changes in long-term debt related to the lease purchase commitments are as follows(in thousands):

July 1,1999 Additions Deletions

June 30,2000

General Long-Term DebtAccount Group $ 7,441 $ 2,365 $ (3,017) $ 6,789

Enterprise Funds $ 50 $ 117 $ (77) $ 90

G. LONG-TERM DEBT

The County is not obligated in any manner for outstanding special assessment debt.However, the County acts in an agency capacity for property owners in collecting overlappingtax and assessment debt, which totals $401,153,732. These amounts do not appear in theaccompanying General Purpose Financial Statements.

As indicated in Notes I.C, III.F, III.G, III.I and IV.G the County has recognized a long-termliability for employee vacation and sick leave accruals (compensated absences), leasepurchase agreements, certificates of participation, facility lease, and pension obligationbonds. The following is a schedule of changes in governmental fund type long-term debt (inthousands):


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G. LONG-TERM DEBT (continued)

July 1,1999 Additions Deletions

June 30,2000

Resources to beProvided in FutureYears:

Compensated Absences $ 37,087 $ 3,708 $ $ 40,795

Lease Purchase Agreements 7,441 2,365 (3,017) 6,789

Certificates ofParticipation 99,000 6,815 (8,030) 97,785

Facility Lease 671 (49) 622

Loans Payable 10,000 10,000

Bonds Payable 255 (15) 240

Pension ObligationBonds 185,461 185,461

TOTAL $ 329,915 $ 22,888 $ (11,111) $ 341,692

Additions for compensated absences represent the amount necessary to adjust the beginningbalance to the ending balance and is not intended to reflect actual changes. Certificates ofparticipation are secured by annual lease rental payments payable by the County for use offacilities constructed or purchased from the certificate proceeds.

H. GENERAL LONG-TERM DEBT ACCOUNT GROUP LOANS PAYABLE

In order to facilitate the construction of the Public Health Facility, the County borrowed$10,000,000 in HUD Section 108 Guaranteed Loan funds in the current fiscal year. Thesefunds were initially advanced on notes issued by an interim lender. They were replaced bya single note issued by Chase Manhattan Bank, the fiscal agent.

The loan is guaranteed by HUD under the Loan Guarantee Assistance Section of theCommunity Block Grant Program, Section 108 of the Housing and Community DevelopmentAct of 1974. The loan is recorded in the General Long-Term Debt Account Group. Asummary schedule of the future payments is as follows (in thousands):


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III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS

H. LOANS PAYABLE (continued)

Principal Interest Total2000-01 $ 750 $ 423 $ 1,1732001-02 795 633 1,4282002-03 845 576 1,4212003-04 900 514 1,4142004-05 955 448 1,4032005-2009 5,755 1,086 6,841TOTAL $ 10,000 $ 3,680 $ 13,680

I. CERTIFICATES OF PARTICIPATION

The County has outstanding Certificates of Participation totaling $143,215,000 ($67,800,000at variable and $75,415,000 at fixed interest rates). The proceeds of these Certificates arebeing used for the acquisition of equipment and acquisition, construction and renovation ofcertain public facilities within the County. All of the Certificates have been delivered to thetrustees (First Interstate Bank, First Trust California Bank, State Street Bank and Bank ofAmerica) for investment and disbursement subject to the terms and conditions of the trustagreements. Of this debt, $97,785,000 is included in the General Long-Term Debt AccountGroup, $27,785,000 is included as current and long-term debt of the Kern Medical CenterEnterprise Fund, $13,305,000 is included as current and long-term debt of the WasteManagement Enterprise Fund and $4,340,000 is included as current and long-term debt ofthe Golf Course Enterprise Fund. The 1999 Capital Improvement Project COP balance of$20,470,000 is divided between the Kern Medical Center Enterprise Fund and the GeneralLong-Term Debt Account Group as shown in the summary schedules included in this section.

The Solid Waste System Improvement 1994 Certificates of Participation are paid from theWaste Management Enterprise Fund and the Kern Medical Center Emergency Facility andKern Medical Center Surgical Services Facility Certificates of Participation are currently beingpaid from the Kern Medical Center Enterprise Fund. The 1999 Capital Improvement ProjectCertificates of Participation are paid from the Kern Medical Center Enterprise Fund and theGeneral Fund. The County of Kern Asset Leasing Corporation is making payments of principaland interest with respect to the remaining issues.

The obligation of the County to make Base Rental Payments does not constitute a generalobligation of the County for which the County is obligated to levy or pledge any form oftaxation. A summary schedule of future minimum long-term payments using maximuminterest rates (for the 1986 Certificates of Participation) and fixed interest rates (for theLibrary Certificates of Participation) are as follows (in thousands):


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III. DETAILED NOTES ON ALL FUNDS AND ACCOUNTS GROUPS (continued)

I. CERTIFICATES OF PARTICIPATION (continued)

1986 COP (Public Facilities Project):

Principal Interest Total2000-00 $ 6,725 $ 8,142 $ 14,8672001-02 7,532 7,335 14,8672002-03 8,436 6,431 14,8672003-04 9,448 5,419 14,8672004-05 10,582 4,285 14,8672005-2007 25,077 4,608 29,685TOTAL $ 67,800 $ 36,220 $ 104,020

Beale Library:

Principal Interest Total2000-01 $ 1,250 $ 503 $ 1,7532001-02 1,300 451 1,7512002-03 1,350 394 1,7442003-04 1,410 333 1,7432004-05 1,480 267 1,7472005-2008 4,855 361 5,216TOTAL $ 11,645 $ 2,309 $ 13,954

Rosamond Library:

Principal Interest Total2000-01 $ 75 $ 103 $ 1782001-02 80 99 1792002-03 80 94 1742003-04 85 90 1752004-05 90 85 1752005-2015 1,270 486 1,756TOTAL $ 1,680 $ 957 $ 2,637

1999 Capital Improvement Project – Communications Project:

Principal Interest Total2000-01 $ 72 $ 343 $ 4152001-02 75 340 4152002-03 78 337 4152003-04 82 333 4152004-05 83 330 4132005-2019 6,425 2,863 9,288

$ 6,815 $ 4,546 $ 11,361


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A summary of the certificate of participation debt recorded in the Kern Medical CenterEnterprise Fund is as follows (in thousands):

Kern Medical Center – Emergency Facility:

Principal Interest Total2000-01 $ 1,030 $ 479 $ 1,5092001-02 1,095 415 1,5102002-03 1,140 348 1,4882003-04 1,175 277 1,4522004-05 1,210 202 1,4122005-2007 2,540 165 2,705TOTAL $ 8,190 $ 1,886 $ 10,076

Kern Medical Center – Surgical Services Facility:

Principal Interest Total2000-01 $ 1,075 $ 303 $ 1,3782001-02 1,125 250 1,3752002-03 1,185 194 1,3792003-04 1,245 134 1,3792004-2005 1,310 69 1,379TOTAL $ 5,940 $ 950 $ 6,890

1999 Capital Improvement Project – KMC Portion:

Principal Interest Total2000-01 $ 143 $ 686 $ 8292001-02 150 680 8302002-03 157 674 8312003-04 163 668 8312004-05 167 660 8272005-2019 12,875 5,736 18,611

$ 13,655 $ 9,104 $ 22,759


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A summary of the certificate of participation debt associated with solid waste systemimprovements and recorded in the Waste Management Enterprise Fund is as follows (inthousands):

Solid Waste System Improvements:

Principal Interest Total2000-01 $ 1,045 $ 702 $ 1,7472001-02 1,095 648 1,7432002-03 1,155 589 1,7442003-04 1,210 527 1,7372004-05 1,275 461 1,7362005-2010 7,525 1,122 8,647TOTAL $ 13,305 $ 4,049 $ 17,354

A summary of the certificate of participation debt recorded in the Golf Course EnterpriseFund is as follows (in thousands):

1996 COP (Golf Course Capital Improvement):

Principal Interest Total2000-01 $ 165 $ 227 $ 3922001-02 175 218 3932002-03 185 209 3942003-04 195 200 3952004-05 200 190 3902005-2017 3,420 1,249 4,669TOTAL $ 4,340 $ 2,293 $ 6,633

A summary of the certificate of participation debt associated with the Special Revenue Fund- Structural Fire and recorded in the General Long-Term Debt Account Group is as follows(in thousands):

1997 COP (Fire Department):

Principal Interest Total2000-01 $ 800 $ 492 $ 1,2922001-02 670 456 1,1262002-03 390 425 8152003-04 410 407 8172004-05 425 388 8132005-2017 7,150 2,642 9,792TOTAL $ 9,845 $ 4,810 $ 14,655


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J. CONTRIBUTED CAPITAL

The changes in the County’s contributed capital accounts for its proprietary funds were asfollows (in thousands):

Enterprise Funds:

Sources:July 1,1999 Additions Deletions

June 30,2000

Airports $ 62 $ 300 $ $ 362Golf Course 1,848 1,848Public Transportation 58 58Kern Medical Center 17,197 17,197TOTAL $ 19,107 $ 358 $ $ 19,465

Additions represent donated equipment from outside parties.


Sources:July 1,1999 Additions Deletions

June 30,2000

General Services – Garage $ 1,003 $ 459 $ (189) $ 1,273TOTAL $ 1,003 $ 459 $ (189) $ 1,273

Additions represent residual equity transfers from the General Fixed Assets Account Group.Deletions for General Services – Garage represent depreciation on contributed assets anddisposals of contributed assets.

K. RESERVED RETAINED EARNINGS AND RESTRICTED ASSET ACCOUNTS

The County’s bond covenants and obligations to other governmental units require certainreservations of retained earnings, which are described below (in thousands):

Enterprise Funds:

Airports $ 637 Imprest Cash and Debt ObligationsCounty Sanitation Districts 2,821 Capital Outlay, Debt Obligations,

Restricted Program FundsGolf Course 138 Debt ObligationsWaste Management 8,553 Imprest Cash and Debt ObligationsKern Medical Center 7,712 Imprest Cash and Debt ObligationsPublic Transportation 75 Debt Obligations

TOTAL $ 19,936


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III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Continued)

K. RESERVED RETAINED EARNINGS AND RESTRICTED ASSET ACCOUNTS (continued)


General Liability $ 4 Debt ObligationsGroup Health 695 Deposit with Others, Debt ObligationsUnemployment Compensation 3 ObligationsGeneral Services – Garage 269 Debt Obligations and InventoryTOTAL $ 971

L. DESIGNATED AND RESERVED FUND BALANCES

The County’s Balance Sheet reports designations of fund balance. These designations arepart of the unreserved fund balance, which has been tentatively allocated for financialresource utilization in future fiscal years. The balances (in thousands) at June 30, 2000 andpurpose of these designations are as follows:

GeneralFund

Special RevenueFunds

Debt ServiceFunds


Sheriff Department Aircraft $ 455 $ $ $Designation for Specific Programs, Capital Projects and Debt Service 6,646 35,932 12TOTAL $ 455 $ 6,646 $ 35,932 $ 12

The County’s balance sheet reports reserved fund balances which are not available forappropriation and expenditure. The balances at June 30, 2000 are as follows (in thousands):

GeneralFund

SpecialRevenueFunds


DebtServiceFunds

TrustFunds

Encumbrances $ 13,070 $ 33,902 $ 16,015 $ $Imprest Cash 1,207 111Deposits with Others 205Inventory 60 1,940Fiscal Stability 1,000Victim Witness 100General 5,901 28,552Advances 13,540 4,500Loans Receivable 2,428Tax Litigation 4,051 3,711Net Assets Held in Trust for External Investment Pool Participants 684,255TOTAL $ 33,233 $ 45,565 $ 16,015 $ 35,480 $ 684,255


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IV. OTHER INFORMATION

A. RISK MANAGEMENT

The County is generally self-insured for general liability, unemployment insurance, workers’compensation, professional liability, employee and retiree medical and dental claims. Excessliability insurance is maintained for claims over $1,000,000 and up to $22,000,000. Thepolicy protects the County and its employees against most legal liabilities arising fromautomobile liability, products damage, contractual liability, non-hospital malpractice andpublic officials’ errors and omissions. Workers’ compensation claims are self-insured up to$300,000 per occurrence. Excess coverage is maintained for workers’ compensation claimsup to $5,000,000 per occurrence. The County does not self-insure against liability at itsseven airports. Airports Liability insurance and Excess Airport Liability insurance ismaintained. The amount of settlements in each of the past three years has not exceededthe amount of insurance coverage. The liabilities for self-insurance included in the GeneralLiability and Workers’ Compensation Internal Service Funds are based upon the results ofactuarial studies and include amounts for claims incurred but not reported. The liability forself-insurance included in the Group Health Internal Service Fund is based upon historicaltrend analysis and includes amounts for claims incurred but not reported. The liability forself insurance included in the Unemployment Compensation Internal Service Fund representsunpaid claims incurred as of June 30, 2000.

The Risk Management Division of the Office of County Counsel determines and administersGeneral Liability and Workers’ Compensation requirements of the County. Health andUnemployment self-insurance is administered by the County Administrative Office.

Except for medical malpractice, financial activity of the self-insurance programs is accountedfor in separate internal service funds. Internal service funds are maintained for GeneralLiability, Group Health, Retiree Group Health, Unemployment Compensation and Workers’Compensation. Retiree claims are paid from the Group Health Internal Service Fund. Totalestimated claims liability at June 30, 2000 was $34,720,415

Fiscal Year 1998-99:

Beginningof Fiscal

YearLiability

Current YearClaims andChanges inEstimates

ClaimsPayments

Balanceat FiscalYear-End

General Liability $ 9,367 $ 1,193 $ (931) $ 9,629Workers’ Compensation 19,858 6,034 (7,046) 18,846Group Health 5,620 33,718 (35,234) 4,104Unemployment Compensation 184 786 (753) 217TOTAL $ 35,029 $ 41,731 $ (43,964) $ 32,796


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IV. OTHER INFORMATION (continued)

A. RISK MANAGEMENT (continued)

Fiscal Year 1999-2000:

Beginningof Fiscal

YearLiability

Current YearClaims andChanges inEstimates

ClaimsPayments

Balanceat FiscalYear-End

General Liability $ 9,629 $ (1,243) $ (326) $ 8,060Workers’Compensation 18,846 9,098 (7,767) 20,177Group Health 4,104 40,528 (38,550) 6,082UnemploymentCompensation 217 1,008 (823) 402TOTAL $ 32,796 $ 49,391 $ (47,466) $ 34,721

Kern Medical Center (KMC) maintains an unfunded reserve in its Enterprise Fund based onactuarial estimates for the self-insured portion of its professional liability risks. Reserves forlosses and related expenses are estimated using expected loss-reporting patterns and havebeen discounted to their present value. Adjustments to the reserves are included in resultsof operations. KMC has accrued, in accordance with generally accepted accountingprinciples, an estimated liability for incurred but not reported losses of $8,463,571 at June30, 2000. The recorded liability is based on projected ultimate losses of $9,049,638,discounted at a rate of 6%. KMC has unlimited retention on most open policy years. Effective July 1, 1998 KMC purchased excess insurance to cover claims in excess of$1,000,000 to an aggregate of $30,000,000.


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B. SEGMENTED INFORMATION FOR ENTERPRISE FUNDS

The County of Kern maintains seven Enterprise Funds. Two are Sanitation Districts whichare combined into one category entitled County Sanitation Districts. Segment information for Enterprise Funds is as follows (in thousands):

AirportsKern Medical

CenterWaste

ManagementOperating Revenues $ 2,320 $ 145,766 $ 10,509Operating Expenses (2,346) (113,675) (17,140)Taxes and Assessments 644 11,816Aid from Other Govt. Agencies 1,181 31,706 234Non-operating Revenues (Expenses) 218 (65,573) 4,422Depreciation (310) (4,375) (722)Income (Loss) before OperatingTransfers 1,707 (6,151) 9,119Operating Transfers (net) 16,763Net Income (Loss) $ 1,707 $ 10,612 $ 9,119

Property, Plant & Equipment (net) $ 22,480 $ 45,835 $ 26,018

Long-term Debt Payable $ 765 $ 70,538 $ 64,438

Net Working Capital $ 342 $ 74,040 $ 54,852

Total Assets $ 25,159 $ 131,101 $ 82,103

Capital Contribution $ 362 $ 17,197 $Retained Earnings 21,695 32,140 16,432Total Equity $ 22,057 $ 49,337 $ 16,432


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B. SEGMENT INFORMATION FOR ENTERPRISE FUNDS (continued)

PublicTransportation

CountySanitationDistricts

GolfCourse TOTAL

Operating Revenues $ 571 $ 201 $ 4,218 $ 163,585Operating Expenses (3,320) (1,980) (3,649) (142,110)Taxes and Assessments 2,802 2,044 17,306Aid from Other Govt. Agencies 1,585 34,706Non-operating Revenues (Expenses) (1) 274 (149) (60,809)Depreciation (411) (336) (159) (6,313)Income (Loss) before OperatingTransfers 1,226 203 261 6,365Operating Transfers (net) 16,763Net Income (Loss) $ 1,226 $ 203 $ 261 $ 23,128

Property, Plant and Equipment (net) $ 2,360 $ 11,840 $ 5,852 $ 115,214

Long-Term Debt Payable $ 141 $ $ 4,175 $ 140,057

Net Working Capital $ 912 $ 3,794 $ 1,615 $ 134,726

Total Assets $ 3,574 $ 15,736 $ 7,632 $ 265,305

Capital Contribution $ 58 $ $ 1,848 $ 19,465Retained Earnings 3,073 15,634 1,444 90,418Total Equity $ 3,131 $ 15,634 $ 3,292 $ 109,883

C. HOSPITAL AND OTHER PROGRAM REVENUES

Net patient service revenue is reported at the estimated net realizable amounts frompatients, third-party payers, and others for services rendered, including estimated retroactiveadjustments under reimbursement agreements with third-party payers. Retroactiveadjustments are accrued on an estimated basis in the period the related services arerendered and adjusted in future periods as final settlements are determined.

Medi-Cal and Medicare ProgramsA substantial portion of the Hospital revenue is derived from services provided to patientseligible for benefits under the Medi-Cal and Medicare programs. Medi-Cal inpatient servicesare reimbursed at a contractually agreed upon per-diem rate. Services to inpatient Medicareprogram beneficiaries are primarily paid under prospectively determined rates-per-dischargebased upon diagnostic related groups.


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C. HOSPITAL AND OTHER PROGRAM REVENUES (continued)

Medi-Cal and Medicare Programs (continued)

Certain other services to Medicare beneficiaries are reimbursed based on cost subject tocertain limitations. Revenues from the Medi-Cal and Medicare programs representapproximately 43% and 21% respectively, of net patient care revenue for the year endedJune 30, 2000.

The Hospital has various outstanding appeals pertaining to Medi-Cal and Medicare auditsettlements. These amounts have not been recorded as the outcome is not certain. Thepotential impact of these appeals will not have an adverse effect upon the County.

Other Program RevenuesThe Hospital also receives revenues from the following other revenue programs:

During fiscal year 1991-92, Senate Bills (SB) 855 and 146 were enacted to provide higherMedi-Cal reimbursement rates to "disproportionate share hospitals." These are hospitalswhich provide service to a large number of indigent patients. The law requires certain publicentities to contribute funds to the State. These funds, along with additional Federalrevenues, are utilized by the State to fund the supplemental payment amounts. The Hospitalreceived $57,133,720 in fiscal 2000 and $59,475,192 in fiscal 1999 under the State ofCalifornia’s Medi-Cal disproportionate share program. The program required the County toprovide matching funds of $55,433,510 and $41,307,631 in fiscal 2000 and 1999,respectively, which were recorded as expenditures in the General Fund. The amountreceived by the Hospital through this program is dependent upon the number of Medi-Calinpatient days provided by the Hospital. Because the revenues generated are based onservices provided to patients, they have been classified as net patient service revenues.Reimbursement to the General Fund for the contribution is recorded as other revenue in theGeneral Fund and as non-operating expense in the Kern Medical Center Enterprise Fund.

SB 1255, which became effective in 1990, established the State Disproportionate Share andEmergency Services Fund to receive contributions from public and private agencies. TheState utilized these funds to obtain additional Federal matching funds. The total is thendistributed to the participants through a negotiation process with the California MedicalAssistance Commission. To be eligible to negotiate for funds, among other requirements,a hospital must be a disproportionate share provider. For fiscal year 1999-2000 County SB1255 revenues were $28,300,000. The program required the County to provide matchingfunds of $13,000,000, which were recorded as expenditures in the General Fund.Reimbursement to the General Fund for the contribution is recorded as other revenue in theGeneral Fund and as non-operating expense in the Kern Medical Center Enterprise Fund.


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C. HOSPITAL AND OTHER PROGRAM REVENUES (continued)

Other Program Revenues (continued)

Proposition 99 imposes an additional state excise tax on cigarettes and other tobaccoproducts. The increased taxes on tobacco products generate additional revenues for healthcare, research, health education, and public resources. State Assembly Bill 75 allocatesthese revenues to health care providers based upon their share of the financial burden forproviding care to persons who are uninsured or otherwise unable to pay for care. TheCounty's share of these revenues for the year ended June 30, 2000 was $1,185,002.

Revenues related to the aforementioned programs are included in the accompanyingfinancial statements as hospital operating revenues. Unpaid amounts are reported as otherreceivables. Claims for these programs are subject to audit by State and/or Federal agencies.

Health and Welfare Realignment ActIn fiscal year 1991-92, the State implemented the Health and Welfare Realignment Act("Realignment"), which transferred a significant portion of the financial and administrativeresponsibilities for local health and welfare programs from the State to counties. The Stateutilizes a one-half cent sales tax increase and an increase in vehicle license fees as thesources for funding allocations to the counties in lieu of previous State General Fundfinancing. The amount to be received by counties is dependent upon the actual increasedsales tax and vehicle license fees. Kern County Realignment revenues were recorded asState revenues in the General, Special Revenue and Enterprise Funds.

D. POST RETIREMENT HEALTH CARE BENEFITS

In addition to the pension benefits described in Note IV.G, the County provides postretirement health care benefits in accordance with union contracts and Board of Supervisors'order. There are two programs which contribute funding for retirees' health insurance. TheRetiree Health Premium Supplement Program (RHPSP) is available to employees who a)elected to participate or were required to participate, b) retire on or after July 1, 1990, c)are between the ages of 55 and 64 and d) have at least 20 years of continuous Countyservice as a permanent employee. At June 30, 2000 there were approximately 353 retireesreceiving the supplement. The supplement amount is permanently fixed once determinedand is, depending on years of service, equal to 50-100% of the active employee monthlyhealth premium for a single individual at the time of retirement. The RHPSP is currentlyfunded by annual County contributions of $600,000 and employee contributions of .33% ofbase pay.


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D. POST RETIREMENT HEALTH BENEFITS (continued)

The Retiree Health Stipend is available to employees who choose continuous County healthcoverage upon retirement. At June 30, 2000 there were approximately 2,341 retireesreceiving the stipend. The stipend paid on behalf of each retiree is a maximum of $39.75for single coverage, $53.69 for two-party coverage and $61.50 for family coverage, limitedto the cost of the plan selected. The stipend is funded by County contributions ofapproximately $182 per active employee per year, which totaled $1,273,429 for the yearended June 30, 2000.

E. CONTINGENT LIABILITIES

Federal and State Grant ProgramsThe County participates in a number of federal and state grant programs which are subjectto audit. Audit requirements for most federal grants will be met by the completion of theCounty's "Single Audit" as required by Public Law 98-502. For the most part, state grantswill be audited by the State in the future. The amount of any disallowed expenditures bygrantor agencies, if any, as a result of audit cannot be determined at this time. The Countybelieves that such disallowance, if any, would not have a material effect on the financialstatements.

Bakersfield City LandfillThe City of Bakersfield, located within the County of Kern, is responsible for the capping andclosure cost of the Bakersfield Landfill that is no longer accepting waste. The County of Kernhas agreed to pay a portion of the total cost involved for the closure of the landfill. The totalcost is estimated to range from $6,000,000 to $10,000,000. Due to the complex nature ofthe closure cost estimates involved, the amount, if any, to be paid by the County cannotcurrently be determined. Accordingly, no liability for this contingency has been included inthe financial statements.

Mental Health Department Medicare and Medi-Cal RevenuesThe County receives Medicare and Medi-Cal payments for certain Mental Health services thatare provided directly by the County as well as by contracted providers. Revenues receivedunder these programs are subject to periodic review by Medicare, Medi-Cal and their agents.Periodically, as a result of these outside reviews, revisions to claimed costs and services maybe required. As a result of these revisions, the County can be required to return a portionof the revenue received from Medicare and/or Medi-Cal. The timing of such reviews and theamounts of potential repayments are not known, but such potential repayments are notconsidered material to these financial statements.

Contingent Property Tax LiabilityThere is no significant litigation pending against the County for protested tax assessments.At June 30, 2000, assessment appeals are pending before the County Assessment AppealsBoard (A.A.B.) in the amount of $136,226,018 plus interest of $5,083,370. Such contingentliability is shared by the various taxing agencies in proportion to the taxes levied for eachagency on the County tax roll for properties involved.


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E. CONTINGENT LIABILITIES (continued)

Contingent Property Tax Liability (continued)

Subsequent to June 30, 2000, the County Assessment Appeals Board rendered a decisionsustaining Occidental’s estimate of its interest in the Elk Hills Field, which is significantly lessthan the Assessor’s estimate. This decision is being appealed by the County. The outcomeis unknown and is not expected to be finalized for at least five years, with any potential liabilitybeing undeterminable at this time.

The following is a summary of the estimated contingent tax liability as of June 30, 2000 (inthousands):

Principal Interest

Total EstimatedPrincipal and

InterestContingent Tax Liability:Court Cases $ $ $ -Pending A.A.B. Matters 136,226 5,083 141,309Total $ 136,226 $ 5,083 $ 141,309Less: Impounded Tax Payments (40,082)Net Contingent Tax Liability $ 101,227

The effect of such estimated contingent tax liability upon County funds is as follows (inthousands):

GeneralStructural

Fire TotalTotal Estimated Liability $ 33,505 $ 16,928 $ 50,433

The disputed assessments involve numerous individual and unrelated cases. The settlementof each case would have little, if any, impact on the potential outcome of the remainingcases. If all cases were settled at one point in time against the County for the estimatedliability of $50,433,476 the County would fund the liability through a combination of futurerevenues and the implementation of cost reduction measures.

Other LitigationThere are various lawsuits and claims against the County, which in the opinion of the CountyCounsel will be resolved with no material adverse effect upon the County's financial position.


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IV. OTHER INFORMATION (Continued)

F. DEFERRED COMPENSATION PLAN

The County has made available to its eligible employees a deferred compensation plan,under the terms of Section 457 of the Internal Revenue Code. The deferred compensationis not available to employees until termination, retirement, death or unforeseeableemergency. Amounts accumulated under the plan have been invested in several investmentoptions at the direction of the employee.

The Small Business Job Protection Act of 1996 changed the Internal Revenue Code Section457 by protecting participant assets from creditors of a bankrupt or financially troubled publicjurisdiction. The County has complied with the provisions of this act. As of June 30, 2000there was $182,388,588 in the Deferred Compensation plan, which is not included as partof the County’s financial statements.

G. PENSION PLAN

Plan DescriptionThe County’s Board of Supervisors established the Kern County Employees’ RetirementAssociation (K.C.E.R.A.) under the provisions of the County Employees’ Retirement Law of1937 on January 1, 1945. All permanent employees of the County of Kern and thirteenrelated agencies are covered by K.C.E.R.A. which operates as a cost-sharing multi-employerdefined benefit plan. It is the responsibility of K.C.E.R.A. to function as an investment andadministrative agent for the County with respect to the pension plan.

K.C.E.R.A. became independent from the County’s supervision and control as a result of the1992 passage of Proposition 162, which legally established the independent control of theBoard of Retirement. Separate audited financial statements can be obtained from theAssociation at 1115 Truxtun Avenue, Bakersfield, California 93301.

Management of the K.C.E.R.A. plan is vested with the Board of Retirement, which consistsof nine members and one alternate. The Board of Retirement establishes policy for theoperation of the plan, considers applications for disability retirement, recommendscontributions on the basis of actuarial valuations and controls investment of assets. Priorto January 1, 1996, the Kern County Treasurer-Tax Collector was responsible for financialreporting and accounting for all investments as required by Government Code Section 31596;thereafter, responsibility for financial reporting and accounting is vested with the Board ofRetirement as required by Government Code Section 31596 et seq., as amended. On January11, 1987, the Board of Retirement authorized the retirement fund to incur an administrativeexpense and hire an Administrator to serve at the Board’s pleasure. The Administrator isresponsible for the processing and computing of applications for retirement benefits, refunds,beneficiary allowances, death benefits, reciprocity, and any other duties the Board mayassign. The Administrator also acts as Secretary for all Board and Committee meetings andperforms other activities as directed by the Board of Retirement. The K.C.E.R.A. Planprovides for retirement, disability, death, beneficiary and cost-of-living benefits. As of June30, 2000, employee membership data related to the pension plan was as follows:


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G. PENSION PLAN (continued)

Plan Description (continued)

General Safety TotalActive Employees 5,582 1,527 7,109Terminated Employees – Vested 811 70 881Retirees and beneficiaries currentlyreceiving benefits 3,349 874 4,223

9,742 2,471 12,213

All eligible employees must participate in the Kern County Employees’ RetirementAssociation. A member may retire after reaching the age of 50 with 10 years of service; orgeneral members may retire with 30 years of service and safety members may retire with20 years of service, regardless of age. Members who retire at or after age 50 with 10 ormore years of service are entitled to pension benefits for the remainder of their lives. Theamount of such monthly benefit is determined as a percentage of their final monthlycompensation and is based on age at retirement and the number of years of service. Thefinal monthly compensation is the monthly average of the final 12 months compensation, or,if the member so elects, any other continuous 12 month period in the member’s workhistory. Retiring members may choose from four optional beneficiary retirement allowances.Pension provisions include deferred allowances whereby a member may terminate his or heremployment with the County after five or more years of County service. If the member doesnot withdraw his or her accumulated contributions, the member is entitled to all pensionbenefits after being vested five years, and upon reaching the age of 50 with 10 or moreyears of participation in the retirement system. An active member’s surviving spouse isentitled to receive death benefits which consist of accumulated contributions plus interest,and one month’s salary for each full year of service up to a maximum of six months salary.A member with five years of service, regardless of age, who becomes permanentlyincapacitated for the performance of duty will be eligible for a non-service connecteddisability retirement. Any member who becomes permanently incapacitated for theperformance of duty, as a result of injury or disease arising out of and in the course ofemployment, is eligible for a service connected disability regardless of length of service orage.

Basis of AccountingK.C.E.R.A. follows the accounting principles and reporting guidelines as set forth inStatement 25 of the Governmental Accounting Standards Board. The financial statementsare prepared using the accrual basis of accounting and reflect the overall operations ofK.C.E.R.A. Member and employer contributions are recognized in the period in which thecontributions are due, and benefits and refunds are recognized when payable in accordancewith the terms of the plan.


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Method Used to Value InvestmentsPlan investments are reported at fair value. Short-term investments are reported at cost,which approximates fair value. Securities traded on a national or international exchange arevalued at the last reported sales price at current exchange rates. Mortgages are reportedat the remaining principal balance and are collateralized by deeds of trust on real property.The fair value of real estate investments is based on independent appraisals. Investmentsthat do not have an established market are reported at estimated fair values.

ConcentrationsThe fair value of investments with any one organization greater than 5% of plan net assetsas of June 30, 2000 (other than U.S. government securities), is presented in the followingtable:

ORGANIZATION AMOUNT(in thousands)

Corporate Bonds: W.R. Huff Asset Management $ 87,443Domestic Equities: Barclay Global Investors Pacific Investment Management Company Fidelity Management Trust Company Westridge Capital Management, Inc.

$$$$

359,550100,33684,99377,937

International Equities: Barclay Global Investors $ 282,426

Funding PolicyThe County, Special Districts, and all covered employees make contributions to the plan atrates calculated by an actuary to cover both normal cost and the prior service costs such thatany unfunded liability will be funded over an initial 30 year period. In accordance with theCounty Employees’ Retirement Law of 1937, covered employees are required to pay apercentage of their salaries, depending upon their age at date of entry into the system. TheCounty must provide annual contributions sufficient to satisfy the actuarially determinedcontribution requirements as mandated by state statutes.

The employer contribution rates have been determined using the Projected Unit Credit Costmethod. The employer contribution is made up of two parts:


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Funding Policy (continued)

• The Normal Cost, or the cost of the portion of the benefit that is allocated to the currentyear.

• The payment to amortize the Unfunded Actuarial Accrued Liability (UAAL). The UAALis the excess of the plan’s accrued liability over its assets. Most of the UAAL currentlyis being amortized over 23 years, except for the additional liabilities due to grantingGolden Handshake benefits, which are being amortized over three years from the yearin which they were granted.

The Memorandum of Understanding (MOU) adopted April 1997 between the County and itsemployees took effect on July 5, 1997. The MOU states members hired prior to the effectivedate of the MOU will pay 50% of the full member contribution rate until they attain five yearsof service. Members hired after the effective date of the MOU will pay the full member rateuntil they attain five years of service. After five years of service, no contributions will berequired from any member. The MOU is reflected in the calculation for the requiredemployer contribution rates as of July 5, 1997. Ten out of the twelve Special Districtsadopted provisions parallel to the County MOU.

For the year ended June 30, 2000, the County's total payroll for all employees amounted to$317,458,460. The County's total covered payroll for the same period amounted to$311,197,140. Covered payroll refers to all compensation paid by the County to activeemployees covered by the pension plan on which contributions to the pension are based.

The County’ contribution rates for the year ended June 30, 2000 were made in accordancewith an actuarial valuation performed December 31, 1998. An annual 2% cost-of-livingadjustment for all retirees and continuance beneficiaries was adopted as of April 1, 1973.The liability for this annual retirement benefit increase was funded entirely from theunreserved fund balance prior to February 5, 1983. After this date (as recommended by thePlan’ Independent Actuary, adopted by K.C.E.R.A. Board of Retirement, and approved by theCounty of Kern Board of Supervisors) current funding for the cost-of-living reserve is includedin the employers’ contribution.

Contributions to K.C.E.R.A. during fiscal year ended June 30, 2000 were $43,721,525 ofwhich $37,575,583 were regular employer contributions and $6,145,942 were employeecontributions (14% and 2% of covered payroll respectively). The total contribution consistedof $44,098,140 normal cost (14% of covered payroll) less $376,615 (.12% of coveredpayroll) amortization of the over-funded actuarial accrued liability.


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The County’s contribution represented 95% of total contributions required of all participatingemployers. Employer contribution rates are applied to total member compensation definedfor retirement purposes. There have been no differences between the contributions requiredand the contributions actually made. Pension expenditures were calculated to includecontributions made based on the annual required contribution plus payments for debt serviceon the pension obligation bonds described below. Payments for the pension obligation bondsare not included as part of the annual required contribution nor the net pension obligation.Special Districts did not participate in the funding provided by a pension obligation bondissued by the plan sponsor in November 1995; therefore, separate employer contributionrates are required to fund the unfunded liabilities for such class of participation as follows:

Employer Contributions as a Percentage of Estimated Total Compensation:

FISCAL YEAR ENDING JUNE 30, 2000:

SpecialDistricts(MOU)

SpecialDistricts

(non-MOU)General

MembersSafety

MembersNormal Cost 12.24% 8.13% 11.08% 17.40%Amortization ofUAAL* 1.26% 1.26% 0.54% -2.71% TOTAL 13.50% 9.39% 11.62% 14.69%

FISCAL YEAR ENDING JUNE 30, 1999:

SpecialDistricts(MOU)

SpecialDistricts

(non-MOU)General

MembersSafety

MembersNormal Cost 11.83% 7.26% 11.27% 17.44%Amortization ofUAAL* 3.52% 3.52% 1.75% -.51% TOTAL 15.35% 10.78% 13.02% 16.93%

*Unfunded Actuarial Accrued Liability


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A schedule of the annual required employer contributions and the percentage contributedfor the last six fiscal years is as follows:

Fiscal Year Annual Required Contribution Percentage Contributed2000 $37,575,583 100%1999 40,159,103 100%1998 35,420,517 100%1997 27,902,854 100%1996 38,569,856 661%1995 35,950,004 100%

The latest actuarial valuation was dated December 31, 1999. Net assets available to paypension benefits were valued as of the same date. The actuarial report did not reflect anysignificant plan changes. However, it did note as in fiscal year 1997-98 that following aCalifornia Supreme Court decision which changed the rules for computing final compensationfor all 1937 Act retirement systems, the definition of compensation recognized under KCERAhad been expanded to include additional pay elements. Economic assumptions werechanged since the last valuation and included: an 8.00% investment rate of return, projectedsalary increases of 4.0 per year, and a 4.0% annual increase in Consumer Price Index. Theannual increase in system benefits is capped at 2%.

Six-year historical data showing K.C.E.R.A.’s progress in accumulating sufficient assets to paybenefits when due is available from the Association. A three-year schedule of the fundingprogress of the County retirement system for the years ended December 31, is presentedas follows (in thousands):

Actuarial Valuation Date 12/31/97 12/31/98 12/31/99Actuarial Value of Assets (a) $1,113,914 $1,203,670 $1,325,928Actuarial Accrued Liability AAL (b) $1,140,019 $1,179,753 $1,324,662Overfunded(Underfunded) AAL (a-b) ($26,105) $23,197 $1,267Funded Ratio (a/b) .977 1.02 1.001Annual Covered Payroll $266,640 $282,251 $297,738Unfunded AAL as % of Covered Payroll 9.8% -8.5% -0.4%


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Pension Obligation BondsThe County’s Board of Supervisors adopted a resolution to authorize the issuance of aCounty of Kern pension obligation debenture, a trust agreement, and an interest rate swapagreement in order to finance the County’s share of the unfunded actuarial accrued liabilityof K.C.E.R.A. The actuarial accrued liability of participating special districts was excludedfrom this funding source. The taxable pension obligation bonds have been issued at$227,818,439 to cover the County of Kern’s unfunded actuarial liability of not less than$224,437,000. K.C.E.R.A. received the bond proceeds and recorded $224,437,000 ofcontribution income for the fiscal year ended June 30, 1996.

At June 30, 2000, the amount of certificates included as a component of the County’spension liability was $219,779,107. Of this amount, $185,461,623 has been recorded in theGeneral Long-Term Debt Account Group, $34,317,481 has been recorded in the proprietaryfund types. Debt service for the amount recorded in the General Long-Term Debt AccountGroup is reflected in the debt service fund entitled Pension Obligation Bond Trustee.

The bonds have various maturity dates between 2001 and 2014 for the Current Interestbonds and between 2015 and 2022 for the Capital Appreciation bonds. The interest rangesfrom 6.160% to 7.260% for the Current Interest bonds and 7.560% to 7.610% for theCapital Appreciation bonds. For the year ended June 30, 2000, interest payments relatedto the certificates were $12,144,851. Of this amount, $10,248,489 was paid out of thegovernmental funds, and $1,896,362 was paid out of the proprietary funds.

The following is a summary of the total funding requirements of the certificates (inthousands):

Year Ending June 30Funding

Requirement2001 $ 12,5132002 13,3502003 14,2412004 15,182

2005-2008 71,3282009-2013 118,4572014-2018 162,6782019-2022 155,422

Total $ 563,171Less Amount representing interest (343,393)Net Total $ 219,778


71


H. LANDFILLS

Prior to fiscal year 1988-89, Kern County Waste Management was funded entirely by theCounty General Fund. In fiscal year 1988-89 the Board approved a solid waste managementprogram land use fee on all parcels of real property, but land use fee revenue continued tobe supplemented by a contribution from the General Fund. In fiscal year 1990-91, the Boardof Supervisors increased the land use fee from $27 per single family home to $57 per singlefamily home. In fiscal year 1992-93 the County General Fund contribution to the WasteManagement Enterprise Fund was eliminated and the Department became entirely feesupported. The Board of Supervisors eliminated the land use fee for non-residential propertyand approved a tipping fee for non-residential waste, beginning in fiscal year 1993-94. Allrevenues are placed in the Waste Management Enterprise Fund exclusively for wastemanagement.

State Financial Assurance Mechanism regulations require landfill operators to set aside funds,or provide alternative funding mechanisms, to fund the closure expense and postclosuremaintenance of landfills. In response, Kern County established a designated reserve accountto fund closure maintenance. Annual liabilities foreclosure are based on a State mandatedformula that insures the closure account for each landfill will be fully funded prior to theestimated date the landfill will close. Estimated closure costs are based on the most recentclosure plans submitted to the State. Regulations require the County to prepare detailedclosure plans for each landfill. The plans include an engineer’s cost estimate for closuredesign, construction of final cover, construction of monitoring systems and other relatedactivities.

Closure plans are reviewed and approved by the Integrated Waste Management Board. Thepledge of future revenue for post closure maintenance costs is also based on the most recentplans submitted to the Integrated Waste Management Board. For post closure maintenance,the engineers cost estimate included monitoring and erosion control. If, at some futuredate, these closure plans and cost estimates are adjusted (due to changes in inflation,deflation, technology, regulations, etc.), the County is required to make correspondingchanges in the amount of funds deposited for closure and in the pledge of future revenue.

The County owns eleven Class III landfills, two large volume transfer stations, and five smallvolume transfer stations, strategically located throughout Kern County. These facilities servethe solid waste disposal needs of the County’s eleven incorporated cities.

Estimated closure and postclosure costs as of June 30, 2000 are $53,961,260 and$26,657,651 respectively. The County’s landfills are listed below, along with their estimatedremaining useful lives (shown in parenthesis), total capacity and percentage of capacityused:


72

V. OTHER INFORMATION (continued)

H. LANDFILLS (continued)

Facility Name Capacity in Cubic Yards Percent IncurredArvin (3) 11,948,609 57%Bena (33) 6,957,446 55%Boron (29) 1,002,819 42%Buttonwillow* 358,273 83%Kern Valley ** 2,606,575 99%Lost Hills (25) 1,478,905 8%Mojave/Rosamond (13) 2,211,743 22%Ridgecrest (31) 9,545,940 19%Shafter/Wasco (22) 11,635,500 19%Taft (146) 8,787,547 11%Tehachapi (7) 2,593,900 38%TOTAL 59,127,257

* Buttonwillow is no longer accepting waste. It is scheduled to close in 2005.

** Kern Valley capacity could last four more years, but closed in June 1997 due to leaseconstraints

Each year a portion of the landfill’s estimated closure costs are recognized as an expenseand liability based on the capacity used to date. As of June 30, 2000, the landfill closure hasbeen recorded at $23,152,037 and is included in the liabilities of the Waste ManagementEnterprise Fund. This represents the cumulative liability to date based on the formulasprovided by the State of California. The remaining $30,809,223 anticipated closure costs willbe recognized in future years based on the state formulas. The $26,657,651 postclosurecare costs will be updated annually.

Under Title 23, Article 5 of the California Code of Regulations, the County is required toprovide a financial assurance mechanism to fund a “reasonably foreseeable release” fromits landfills into groundwater. The Waste Management Department has established an Article5 designated reserve to fund capital costs for each landfill where it is appropriate. Inaddition, the Waste Management Department plans to establish a pledge of future revenueto cover on-going maintenance and operation of any capital improvements that areconstructed.

The amount of the designated reserves and the pledge of revenue will be based on theengineers cost estimates contained in the Article 5 Financial Assurance Plans submitted tothe Integrated Waste Management Board for review and approval. The estimatedcontingency is two to three million per site. The current designation has been set at $2million.


73

V. SUBSEQUENT EVENTS

A. AGREEMENTS WITH EMPLOYEE UNIONS

On July 25, 2000, the Board of Supervisors adopted a Memorandum of Understanding withthe Central California Association of Public Employees for Bargaining Unit 1 through 6 andapproved changes in terms and conditions of employment for management, mid-management and confidential employees. The total estimated increased costs resulting fromthese agreements are as follows (in thousands):

Fiscal YearNet General Fund

Cost1999-00 $ 8242000-01 4,8272001-02 2,4782002-03 2,400Total $ 10,529

B. TAX AND REVENUE ANTICIPATION NOTES

On July 5, 2000, the County issued Tax and Revenue Anticipation Notes (TRANS) totaling$46,000,000 due on July 2, 2001. The proceeds of the TRANS are intended to providefinancing of seasonal cash flow requirements for the County’s General Fund expendituresduring the fiscal year ended June 30, 2001. A pledge of property taxes, income, revenueand other monies of the County allocable solely to fiscal year 2000-01 and legally availablesecure the TRANS.


74

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75

GENERAL FUND DESCRIPTION

General Fund – This is the main operating fund of the County, and is used to account for all financialresources traditionally associated with government, except those required to be accounted for in anotherfund.

COUNTY OF KERN BALANCE SHEETGENERAL FUNDJUNE 30, 2000 (IN THOUSANDS)

Pooled Cash and Investments $ 29,862Revolving Fund Cash 1,207Interest Receivable 1,603Loans Receivable 1,200Accrued Revenue 16,542Due from Other Funds 5,878Advances to Other Funds 13,540Deposits with Others 205Inventory Materials and Supplies 60 Total Assets $ 70,097

Liabilities:Accounts Payable $ 785Salaries and Employee Benefits Payable 7,284Loans Payable 130


Fund Balance (Deficit):Reserved (Note III L) 33,233Unreserved:

Designated (Note III L) 455Undesignated 28,210

Total Fund Balance (Deficit) 61,898

Total Liabilities and Fund Balance $ 70,097

ASSETS

LIABILITIES AND FUND BALANCE

76

COUNTY OF KERNSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE (DEFICIT)GENERAL FUNDYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

REVENUES:Taxes $ 102,899Licenses, Permits and Franchises 6,686Fines, Forfeitures and Penalties 12,894Revenues from Use of Money and Property 6,931Aid from Other Governmental Agencies 125,323Charges for Current Services 72,006Other Revenues 74,236

Total Revenues 400,975


General Government 65,959Public Protection 160,230Health and Sanitation 94,066Public Assistance 34,710Education 7,412Recreation and Cultural Services 9,440Public Ways and Facilities 5,430

Capital Outlay 2,144Debt Service:

Principal 49Interest 43

Total Expenditures 379,483

Excess (Deficiency) of Revenues Over Expenditures 21,492

OTHER FINANCING SOURCES (USES):Operating Transfers In 270Operating Transfers Out (18,718)Inception of Capital Leases 2,144

Total Other Financing Sources (Uses) (16,304)


Expenditures and Other Financing Uses 5,188

Fund Balance (Deficit), July 1, 1999 57,010

Residual Equity Transfer to Other Funds (300)

Fund Balance (Deficit), June 30, 2000 $ 61,898

77

COUNTY OF KERNSCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCESBUDGET AND ACTUAL ON BUDGETARY BASIS GENERAL FUNDYEAR ENDED JUNE 30, 2000 (IN THOUSANDS) Page 1 of 14



REVENUES:General Government

Board of SupervisorsOther Revenues $ $ 1 $ 1

1 1Administrative Office

Aid from Other Governmental Agencies 50 110 60Charges for Current Services 477 439 (38)Other Revenues 62 41 (21)

589 590 1Clerk of the Board

Aid from Other Governmental Agencies 47 47Charges for Current Services 6 9 3Other Revenues 2 2

55 58 3Auditor-Controller

Licenses, Permits and Franchises 194 188 (6)Aid from Other Governmental Agencies 29 39 10Charges for Current Services 623 727 104Other Revenues 1 8 7

847 962 115Discretionary Revenue

Taxes 95,796 102,899 7,103Licenses, Permits and Franchises 3,767 3,974 207Fines, Forfeitures and Penalties 5,550 6,118 568Revenues from Use of Money and Property 5,550 6,186 636Aid from Other Governmental Agencies 45,172 50,774 5,602Charges for Current Services 6,722 6,499 (223)Other Revenues 31 207 176

162,588 176,657 14,069Travel Agent Expense

Charges for Current Services 270 219 (51)270 219 (51)

Treasurer-Tax CollectorFines, Forfeitures and Penalties 48 88 40Aid from Other Governmental Agencies 98 98Charges for Current Services 2,504 2,282 (222)Other Revenues 150 203 53

2,702 2,671 (31)Assessor

Charges for Current Services 884 1,044 160884 1,044 160

Assessor- Property Tax AdministrationAid from Other Governmental Agencies 1,582 1,303 (279)

1,582 1,303 (279)Purchasing - Division of General Services

Revenues from Use of Money and Property 98 89 (9)Charges for Current Services 54 53 (1)Other Revenues 1 1

152 143 (9)General Services - Mail Services

Charges for Current Services 469 459 (10)469 459 (10)

78



Budget Basis (Unfavorable)General Government (Continued):

ReprographicsCharges for Current Services $ 629 $ 763 $ 134Other Revenues 73 4 (69)

702 767 65Information Technology Services

Aid from Other Governmental Agencies 43 22 (21)Charges for Current Services 5,132 5,167 35Other Revenues 2 2

5,175 5,191 16County Counsel

Charges for Current Services 2,931 2,894 (37)Other Revenues 7 7

2,931 2,901 (30)Personnel

Charges for Current Services 124 117 (7)Other Revenues 2 2

124 119 (5)Elections

Aid from Other Governmental Agencies 82 197 115Charges for Current Services 541 373 (168)Other Revenues 8 6 (2)

631 576 (55)Communications

Aid from Other Governmental Agencies 1 (1)Charges for Current Services 676 658 (18)Other Revenues 1 1

677 659 (18)General Services

Fines, Forfeitures and Penalties 116 176 60Revenues from Use of Money and Property 276 283 7Charges for Current Services 1,426 1,305 (121)Other Revenues 6 9 3

1,824 1,773 (51)Utility Payments

Charges for Current Services 493 533 40493 533 40

Property ManagementRevenues from Use of Money and Property 17 44 27Charges for Current Services 256 245 (11)Other Revenues 9 7 (2)

282 296 14ADA Compliance

Aid from Other Governmental Agencies 365 (365)365 (365)

Construction Services - General ServicesAid from Other Governmental Agencies 1 39 38Charges for Current Services 529 567 38Other Revenues 50 1 (49)

580 607 27

79



Budget Basis (Unfavorable)General Government (continued)

General Services - Major MaintenanceAid from Other Governmental Agencies $ 5,793 $ 4,294 $ (1,499)Charges for Current Services 462 13 (449)

6,255 4,307 (1,948)Board of Trade

Aid from Other Governmental Agencies 1 1Other Revenues 9 8 (1)

9 9Engineering and Survey Services

Licenses, Permits and Franchises 1 (1)Aid from Other Governmental Agencies 167 168 1Charges for Current Services 1,516 1,536 20Other Revenues 6 13 7

1,690 1,717 27

Risk ManagementCharges for Current Services 1,562 1,377 (185)Other Revenues 5 4 (1)

1,567 1,381 (186)Capital Projects

Aid from Other Governmental Agencies 12,316 130 (12,186)Charges for Current Services 464 464Other Revenues 2,044 44 (2,000)

14,360 638 (13,722)

Total General Government 207,803 205,581 (2,222)

Public Protection:Contribution -Trial Court Funding

Fines, Forfeitures and Penalties 4,061 3,600 (461)Aid from Other Governmental Agencies 914 914Charges for Current Services 3,043 3,650 607

7,104 8,164 1,060Indigent Defense Services

Aid from Other Governmental Agencies 831 831Charges for Current Services 45 63 18

876 894 18District Attorney

Fines, Forfeitures and Penalties 550 358 (192)Aid from Other Governmental Agencies 2,875 3,195 320Charges for Current Services 2,340 2,514 174Other Revenues 69 5 (64)

5,834 6,072 238Public Defender

Aid from Other Governmental Agencies 482 486 4Charges for Current Services 297 316 19

779 802 23Forensic Sciences-Division of District Attorney

Aid from Other Governmental Agencies 20 (20)Charges for Current Services 337 306 (31)Other Revenues 668 539 (129)

1,025 845 (180)

80



Budget Basis (Unfavorable)Public Protection (continued)

SheriffLicenses, Permits and Franchises $ 189 $ 147 $ (42)Fines, Forfeitures and Penalties 15 23 8Aid from Other Governmental Agencies 3,737 2,655 (1,082)Charges for Current Services 23,293 22,554 (739)Other Revenues 3,888 3,548 (340)

31,122 28,927 (2,195)Probation

Fines, Forfeitures and Penalties 18 24 6Revenues from Use of Money and Property 80 80Aid from Other Governmental Agencies 13,034 13,249 215Charges for Current Services 1,661 1,839 178Other Revenues 28 26 (2)

14,821 15,218 397Agricultural Commissioner

Licenses, Permits and Franchises 16 20 4Fines, Forfeitures and Penalties 9 13 4Aid from Other Governmental Agencies 1,863 2,085 222Charges for Current Services 656 722 66Other Revenues 74 86 12

2,618 2,926 308Code Compliance

Fines, Forfeitures and Penalties 1 1Charges for Current Services 16 42 26

16 43 27Weights and Measures

Fines, Forfeitures and Penalties 73 109 36Aid from Other Governmental Agencies 23 24 1Charges for Current Services 287 278 (9)

383 411 28Special Services

Charges for Current Services 5 (5)Other Revenues 99 171 72

104 171 67Recorder

Licenses, Permits and Franchises 3 4 1Charges for Current Services 1,765 1,541 (224)Other Revenues 64 62 (2)

1,832 1,607 (225)Resource Management Agency

Charges for Current Services 543 502 (41)Other Revenues 4 4

543 506 (37)Planning

Licenses, Permits and Franchises 202 234 32Charges for Current Services 308 327 19Other Revenues 25 29 4

535 590 55

81



Budget Basis (Unfavorable)Public Protection (continued)

Animal ControlLicenses, Permits and Franchises $ 326 $ 302 $ (24)Fines, Forfeitures and Penalties 3 3Aid from Other Governmental Agencies 886 886Charges for Current Services 162 108 (54)Other Revenues 12 17 5

1,386 1,316 (70)Local Agency Formation Committee

Charges for Current Services 22 (22)22 (22)

Emergency ServicesAid from Other Governmental Agencies 87 94 7

87 94 7Superior Court

Fines, Forfeitures and Penalties 10 2 (8)Aid from Other Governmental Agencies 1,059 (1,059)Charges for Current Services 130 97 (33)Other Revenues 10 (10)

1,209 99 (1,110)Bakersfield Municipal Court

Fines, Forfeitures and Penalties 1,218 1,039 (179)Charges for Current Services 756 536 (220)Other Revenues 3 (3)

1,977 1,575 (402)East Kern Municipal Court

Fines, Forfeitures and Penalties 494 470 (24)Charges for Current Services 270 255 (15)

764 725 (39)North Kern Municipal Court

Fines, Forfeitures and Penalties 230 308 78Charges for Current Services 152 204 52

382 512 130

South Kern Municipal CourtFines, Forfeitures and Penalties 469 510 41Charges for Current Services 366 425 59

835 935 100

Total Public Protection 74,254 72,432 (1,822)

Health and Sanitation:Department of Public Health

Aid from Other Governmental Agencies 13,619 12,623 (996)Charges for Current Services 1,500 1,808 308Other Revenues 56 53 (3)

15,175 14,484 (691)

82



Budget Basis (Unfavorable)Health and Sanitation (continued):

Air Quality ControlCharges for Current Services $ 593 $ 586 $ (7)

593 586 (7)Environmental Health

Licenses, Permits and Franchises 1,563 1,514 (49)Fines, Forfeitures and Penalties 33 42 9Aid from Other Governmental Agencies 823 823Charges for Current Services 1,390 1,371 (19)Other Revenues 1 1

3,810 3,751 (59)Emergency Medical Services

Licenses, Permits and Franchises 310 302 (8)Aid from Other Governmental Agencies 65 98 33Charges for Current Services 59 66 7Other Revenues 1 1

435 467 32KMC Enterprise Fund - County Contribution

Aid from Other Governmental Agencies 11,506 11,50611,506 11,506

Contribution for Medical CareOther Revenues 70,434 68,434 (2,000)

70,434 68,434 (2,000)California Children Services

Aid from Other Governmental Agencies 4,860 3,971 (889)Charges for Current Services 18 18Other Revenues 40 259 219

4,918 4,248 (670)Waste Management

Charges for Current Services 1,664 1,564 (100)1,664 1,564 (100)

Total Health and Sanitation 108,535 105,040 (3,495)

Public AssistanceVeterans Service

Aid from Other Governmental Agencies 90 94 490 94 4

Employers' Training ResourceAid from Other Governmental Agencies 15,814 11,597 (4,217)

15,814 11,597 (4,217)Community Development Program Agency

Aid from Other Governmental Agencies 2,270 1,788 (482)2,270 1,788 (482)

Total Public Assistance 18,174 13,479 (4,695)

83



Budget Basis (Unfavorable)Education

Kern County LibraryRevenues from Use of Money and Property $ 112 $ 106 $ (6)Aid from Other Governmental Agencies 1,122 1,124 2Charges for Current Services 333 358 25Other Revenues 455 445 (10)

2,022 2,033 11Farm and Home Advisor

Charges for Current Services 3 3Other Revenues 50 9 (41)

50 12 (38)

Total Education 2,072 2,045 (27)

Recreation and CultureParks and Recreation

Fines, Forfeitures and Penalties 10 9 (1)Revenues from Use of Money and Property 129 142 13Aid from Other Governmental Agencies 240 53 (187)Charges for Current Services 2,081 1,812 (269)Other Revenues 28 11 (17)

Total Recreation and Culture 2,488 2,027 (461)

Debt ServiceAid from Other Governmental Agencies 3 3Charges for Current Services 328 401 73Other Revenues 25 25

Total Debt Service 328 429 101

Total Revenue 413,654 401,033 (12,621)

EXPENDITURES:General Government:

Board of SupervisorsSalaries & Benefits 1,369 1,356 13Services & Supplies 327 317 10Other Financing Uses 65 65

1,761 1,673 88Administrative Office

Salaries & Benefits 1,808 1,807 1Services & Supplies 298 282 16Transfers & Reimbursements (187) (211) 24Other Financing Uses 125 125

2,044 1,878 166Clerk of the Board

Salaries & Benefits 442 371 71Services & Supplies 173 132 41Fixed Assets 8 8Other Financing Uses 199 199

822 511 311Special Services

Salaries & Benefits 37 33 4Services & Supplies 1,717 1,319 398Other Charges 3,107 2,127 980

4,861 3,479 1,382

84



Budget Basis (Unfavorable)General Government (continued):

Auditor-ControllerSalaries & Benefits $ 2,219 $ 2,205 $ 14Services & Supplies 583 576 7Fixed Assets 50 50Transfers & Reimbursements (85) (90) 5Other Financing Uses 134 134

2,901 2,741 160Travel Agent Expense

Services & Supplies 440 421 19Transfers & Reimbursements (170) (202) 32

270 219 51Treasurer - Tax Collector

Salaries & Benefits 1,577 1,442 135Services & Supplies 1,824 1,728 96Fixed Assets 64 61 3Other Financing Uses 194 194

3,659 3,231 428Assessor

Salaries & Benefits 5,782 5,731 51Services & Supplies 345 327 18Fixed Assets 28 28Transfers & Reimbursements (3) (12) 9

6,152 6,074 78Assessor - Property Tax Administration

Salaries & Benefits 829 681 148Services & Supplies 754 671 83Fixed Assets 23 23

1,606 1,375 231Purchasing-Division of General Services

Salaries & Benefits 428 425 3Services & Supplies 36 36Other Charges 42 42

506 503 3General Services-Mail Services

Salaries & Benefits 236 235 1Services & Supplies 1,055 1,054 1Transfers & Reimbursements (565) (564) (1)

726 725 1Reprographics

Salaries & Benefits 361 359 2Services & Supplies 915 912 3Fixed Assets 40 34 6Transfers & Reimbursements (600) (599) (1)Other Charges 26 25 1

742 731 11Information Technology Service

Salaries & Benefits 3,734 3,697 37Services & Supplies 6,564 6,554 10Other Charges 45 36 9Fixed Assets 465 443 22Transfers & Reimbursements (2,447) (2,446) (1)Other Financing Uses 266 266

8,627 8,284 343

85



Budget Basis (Unfavorable)General Government (continued):

County CounselSalaries & Benefits $ 3,694 $ 3,685 $ 9Services & Supplies 318 314 4Transfers & Reimbursements (471) (537) 66Other Charges 42 42Other Financing Uses 25 25

3,608 3,504 104Personnel

Salaries & Benefits 1,391 1,363 28Services & Supplies 291 275 16Other Financing Uses 2 2Fixed Assets 10 9 1Transfers & Reimbursements (36) (28) (8)

1,658 1,619 39Elections

Salaries & Benefits 727 718 9Services & Supplies 1,375 1,232 143Fixed Assets 20 20

2,122 1,970 152Communications

Salaries & Benefits 1,423 1,422 1Services & Supplies 703 699 4Fixed Assets 104 103 1Transfers & Reimbursements (176) (197) 21Other Charges 13 13

2,067 2,040 27General Services

Salaries & Benefits 5,295 5,287 8Services & Supplies 2,460 2,381 79Fixed Assets 58 48 10Transfers & Reimbursements (514) (478) (36)Other Charges 31 30 1Other Financing Uses 70 70

7,400 7,268 132Utility Payments

Services & Supplies 3,273 3,260 13Transfers & Reimbursements (184) (147) (37)Other Charges 145 145Other Financing Uses 90 90

3,324 3,258 66Property Management

Salaries & Benefits 380 379 1Services & Supplies 35 32 3Transfers & Reimbursements (24) (21) (3)

391 390 1ADA Compliance

Services & Supplies 410 38 372410 38 372

Construction Service-Division General ServiceSalaries & Benefits 1,182 1,170 12Services & Supplies 236 202 34Fixed Assets 11 11Transfers & Reimbursements (695) (675) (20)

734 708 26

86



Budget Basis (Unfavorable)General Government (Continued):

General Service-Major Maintenance-GeneralServices & Supplies $ 10,394 $ 7,445 $ 2,949Transfers & Reimbursements (41) (41)

10,353 7,404 2,949Board of Trade

Salaries & Benefits 336 330 6Services & Supplies 173 165 8Other Financing Uses 17 17

526 495 31Engineering & Survey Services

Salaries & Benefits 2,311 2,246 65Services & Supplies 470 407 63Fixed Assets 17 17Transfers & Reimbursements (187) (89) (98)Other Charges 46 46Other Financing Uses 127 127

2,784 2,610 174Risk Management

Salaries & Benefits 1,055 1,055Services & Supplies 518 511 7Other Charges 805 768 37Transfers & Reimbursements (197) (153) (44)

2,181 2,181Capital Projects

Transfers & ReimbursementsFixed Assets 5,465 3,720 1,745

5,465 3,720 1,745Debt Service

Services & Supplies 111 111Other Charges 2,444 2,444Transfers & Reimbursements (267) (267)

2,288 2,288

Total General Government 79,988 70,917 9,071

Public Protection:Contribution - Trial Court Funding

Services & Supplies 16,371 15,814 55716,371 15,814 557

Grand JurySalaries & Benefits 1 1Services & Supplies 142 142

143 143Indigent Defense Services

Services & Supplies 3,110 3,104 63,110 3,104 6

District AttorneySalaries & Benefits 10,198 10,198Services & Supplies 1,493 1,487 6Transfers & Reimbursements (23) (23)

11,668 11,662 6

87



Budget Basis (Unfavorable)Public Protection (continued):

Public DefenderSalaries & Benefits $ 4,848 $ 4,848 $Services & Supplies 282 281 1Other Financing Uses 256 256Fixed Assets 12 12

5,398 5,141 257Forensic Sciences-Division of District Attorney

Salaries & Benefits 1,198 1,145 53Services & Supplies 1,012 931 81Other Charges 38 32 6Fixed Assets 537 530 7Transfers & Reimbursements (94) (109) 15

2,691 2,529 162Sheriff

Salaries & Benefits 59,967 59,651 316Services & Supplies 15,129 14,440 689Other Charges 1,860 1,721 139Other Financing Uses 321 321Fixed Assets 1,129 600 529Transfers & Reimbursements (27) (32) 5

78,379 76,380 1,999Probation

Salaries & Benefits 19,875 19,754 121Services & Supplies 2,997 2,834 163Other Charges 694 676 18

23,566 23,264 302Structural Fire

Salaries & Benefits 13,390 13,390Services & Supplies 1,434 1,434Other Charges 640 640Fixed Assets 11 11

15,475 15,475Agricultural Commissioner

Salaries & Benefits 2,854 2,832 22Services & Supplies 722 703 19Other Financing Uses 10 10Fixed Assets 15 14 1Transfers & Reimbursements (17) (12) (5)

3,584 3,537 47Code Compliance

Salaries & Benefits 369 321 48Services & Supplies 297 250 47Transfers & Reimbursements (214) (183) (31)

452 388 64Weights & Measures

Salaries & Benefits 608 600 8Services & Supplies 130 122 8Other Charges 18 18Other Financing Uses 97 97Fixed Assets 19 19Transfers & Reimbursements (5) (1) (4)

867 758 109

88



Budget Basis (Unfavorable)Public Protection (continued):

RecorderSalaries & Benefits $ 605 $ 597 $ 8Services & Supplies 421 389 32Fixed Assets 233 139 94Other Financing Uses 57 57

1,316 1,125 191Resource Management Agency

Salaries & Benefits 827 823 4Services & Supplies 196 194 2Other Charges 9 9Transfers & Reimbursements (473) (505) 32

559 521 38Planning

Salaries & Benefits 1,527 1,521 6Services & Supplies 558 504 54Transfers & Reimbursements (3) (5) 2

2,082 2,020 62Animal Control

Salaries & Benefits 1,150 1,103 47Services & Supplies 622 589 33Fixed Assets 34 34Other Financing Uses 25 25

1,831 1,726 105Local Agency Formation Commission

Salaries & Benefits 176 154 22Services & Supplies 78 63 15

254 217 37Emergency Services

Salaries & Benefits 144 143 1Services & Supplies 34 34

178 177 1

Total Public Protection 167,924 163,981 3,943

Public Ways and Facilities:Roads

Salaries & Benefits 2,138 2,138Services & Supplies 2,880 2,880Other Charges 68 68Fixed Assets 344 344

Total Public Ways and Facilities 5,430 5,430

Health and Sanitation:Department of Public Health

Salaries & Benefits 10,631 10,291 340Services & Supplies 5,586 4,994 592Other Charges 8 5 3Fixed Assets 41 40 1Transfers & Reimbursements (304) (347) 43

15,962 14,983 979

89



Budget Basis (Unfavorable)Health and Sanitation (continued)

Air Quality ControlSalaries & Benefits $ 586 $ 578 $ 8Services & Supplies 7 7

593 585 8Environmental Health

Salaries & Benefits 3,025 2,980 45Services & Supplies 852 781 71Other Financing Uses 186 186Transfers & Reimbursements (32) (4) (28)

4,031 3,757 274Mental Health

Salaries & Benefits 313 313Services & Supplies 495 495Other Charges 40 40Fixed Assets 1 1

849 849Emergency Medical Services

Salaries & Benefits 409 397 12Services & Supplies 149 144 5Other Charges 9 9

567 550 17Contribution for Medical Care

Other Charges 70,434 68,434 2,00070,434 68,434 2,000

California Children ServicesSalaries & Benefits 2,396 1,724 672Services & Supplies 2,636 2,377 259

5,032 4,101 931Waste Management

Salaries & Benefits 1,681 1,568 113Services & Supplies 129 126 3Transfers & Reimbursements (145) (132) (13)

1,665 1,562 103

Total Health and Sanitation 99,133 94,821 4,312

Public Assistance:Human Services

Salaries & Benefits 988 988Services & Supplies 973 973Other Charges 13,763 13,763Fixed Assets 3 3

15,727 15,727Veterans Service

Salaries & Benefits 388 374 14Services & Supplies 54 51 3Other Financing Uses 18 18

460 425 35Office On Aging

Salaries & Benefits 1,864 1,864Services & Supplies 1,307 1,307Other Charges 1,714 1,714Fixed Assets 17 17

4,902 4,902Employers Training Resource

Salaries & Benefits 8,803 7,333 1,470Services & Supplies 7,067 6,914 153Other Charges 62 (62)Fixed Assets 330 117 213

16,200 14,426 1,774

90



Budget Basis (Unfavorable)Public Assistance (continued):

Community Development Program AgencySalaries & Benefits $ 1,527 $ 1,224 $ 303Services & Supplies 752 545 207

2,279 1,769 510

Total Public Assistance 39,568 37,249 2,319

Education:Kern County Library

Salaries & Benefits 4,894 4,894Services & Supplies 2,619 2,613 6Fixed Assets 15 9 6Transfers & Reimbursements (1) (1)

7,527 7,515 12Farm & Home Advisor

Salaries & Benefits 266 253 13Services & Supplies 189 134 55Fixed Assets 8 6 2Other Financing Uses 29 29

492 393 99

Total Education 8,019 7,908 111

Recreation and Culture:Parks and Recreation

Salaries & Benefits 6,301 6,301Services & Supplies 3,030 3,025 5Other Charges 92 73 19Fixed Assets 615 504 111Other Financing Uses 24 24

Total Recreation and Culture 10,062 9,903 159

Debt Service - General FundServices & Supplies 171 162 9Other Charges 382 382

Debt Service - Principal 49 49Debt Service - Interest 43 43

Total Debt Service - General Fund 645 254 391

Contingencies and ReservesAppropriations for Contingencies 2,602 2,602


Excess (Deficiency) of Revenues Over Expenditures 283 10,570 (10,287)

OTHER FINANCING SOURCES (USES):Operating Transfers In 270 (270)Operating Transfers Out (18,588) (18,718) 130

Total Other Financing Sources (Uses) (18,588) (18,448) (140)


Expenditures and Other Financing Uses (18,305) (7,878) (10,427)


Residual equity transfers from (to) Other Funds (300) 300

Fund Balance (Deficit), June 30, 2000 $ 38,705 $ 48,832 $ (10,127)

91

92

SPECIAL REVENUE FUNDS DESCRIPTIONS

Special Revenue Funds account for revenues derived from specific taxes or other designated revenue sources.Primary revenue sources are: taxes; fines, forfeitures and penalties; use of money and property; aid from othergovernmental agencies; charges for current services; and other revenues. Expenditures are made only for specificactivities legally authorized to be financed from the individual funds. These Special Revenue funds are describedbelow:

Aging and Adult Services – This fund accounts for the development and maintenance of Countywide programsto provide social, nutritional and protective services to seniors and other adults.

Building Inspection – This fund provides for enforcement of State and local regulations governing constructionthrough the issuance of building permits and inspection of new construction in the unincorporated areas of theCounty.

Community Development – This fund accounts for Federal Community Development Block Grants that are usedto develop viable urban communities through the provision of decent housing, a suitable living environment, andeconomic opportunities for low and moderate-income individuals.

County Service Areas – These funds account for a broad range of services to remote geographical areas as wellas rapidly growing communities. These funds are financed principally from property taxes.

District Attorney Family Support – This fund was established for the following primary objectives:

To facilitate compliance with State stature that requires any State or Federal subventions received forFamily Support operations by the County in excess of actual costs be used exclusively for Family Supportactivities and programs.

To provide an incentive for the District Attorney to increase family support collections and to manageFamily Support Division budget expenditures to operate within the revenues generated by the program.

To facilitate annual budget allocation decisions by eliminating dependence on County General Fundsupport.

Emergency Medical Services – This fund provides for the coordination of all participants in the emergencymedical services system in the County, as authorized under the Health and Safety Code.

Employers’ Training Resource – This fund is used for implementing employment and training programs fundedby grant monies awarded to the County and its services delivery area, as defined by the Job Training PartnershipAct and the Family Economic Security Act. Employers’ Training Resource is the primary vehicle for providingemployment and training to unemployed and economically disadvantaged persons.

Human Services – This fund provides for direct financial assistance payments to eligible recipients. Publicassistance programs administered by the Human Services Department are mandated by the State through theWelfare and Institutions Code, as implementing legislation for the Federal Social Security Act. The largestcomponent of this budget is the direct aid payments to needy families under the Aid to Families with DependentChildren (AFDC) Program.

Local Public Safety – This fund is used to separately account for proceeds from a half-cent sales tax enactedthrough the passage of Proposition 172 in November 1993. Proceeds are allocated from this fund to the DistrictAttorney, Public Defender, Sheriff, Probation, and Fire.

Mental Health - This fund accounts for the development and maintenance of a Countywide program ofcommunity mental health services in accordance with provisions of the Short-Doyle Act and the Lanterman-Petris-Short Act, which together comprise the California Mental Health Services Law.

93

SPECIAL REVENUE FUNDS DESCRIPTIONS(Continued)

Planned Local Drainage – These funds account for Planned Drainage Areas established in 1976 to finance theconstruction of storm drain facilities.

Public Improvement Districts – These funds account for monies derived from assessment districts for theconstruction of public improvements.

Road – This fund provides for the planning, design, construction, maintenance and administration of Countytransportation planning activities. Revenues consist primarily of the County’s share of State highway use taxes,Federal grants and vehicle code fines and fees.

Structural Fire – This fund accounts for the operation and maintenance of fire protection facilities. Property taxesrepresent the principal source of financing.

Other Special Revenue Funds – These funds account for revenues received for various activities and programsincluding: Automated County Warrant System, Criminal Justice Facility, Sheriff Training, Automated Fingerprint,Probation Training, Domestic Violence, Family Court Service, Recorders Fee, Micrographics, Range Improvement,Wildlife Resources, Off Highway Motor Vehicle License, Alcohol Program, Alcohol Abuse, Drug Program, LitterCleanup, Tobacco Litigation Settlement, and Experimental Farm.

COUNTY OF KERNCOMBINING BALANCE SHEETSPECIAL REVENUE FUNDSJUNE 30, 2000 (IN THOUSANDS)

Page 1 of 2

AGING COMMUNITYAND ADULT BUILDING DEVELOPMENT

TOTAL SERVICES INSPECTION PROGRAM

Pooled Cash and Investments $ 47,361 $ 793 $ 1,338 $ 426Revolving Fund Cash 111 2Interest Receivable 598 24 8Accounts Receivable 110Accrued Revenue 29,862 958Due from Other Funds 2,151Inventory- Materials and Supplies 1,940

Total Assets $ 82,133 $ 1,753 $ 1,362 $ 434

Liabilities:Accrued Expenditures $ 1,102 $ $ $ 216Salaries and Employee Benefits Payable 5,611 151 61Advances from Other Funds 25Due to Other Funds 5,095 213Due to Other Agencies 1,483Loans Payable 1,390 1,200Deferred Revenue 8,891

Total Liabilities 23,597 1,351 61 429

Fund Balance (Deficit):Reserved (Note III L) 45,565 472 1,600 5,495Unreserved:

Designated (Note III L) 6,646Undesignated 6,325 (70) (299) (5,490)

Total Fund Balance (Deficit) 58,536 402 1,301 5

Total Liabilities and Fund Balance $ 82,133 $ 1,753 $ 1,362 $ 434

ASSETS


94

of 2

COUNTY DISTRICT EMERGENCY EMPLOYERS' SERVICE ATTORNEY MEDICAL TRAININGAREAS FAMILY SUPPORT SERVICES RESOURCE

$ 5,078 $ 3,350 $ 842 $ 1,022 Pooled Cash and Investments3 Revolving Fund Cash

73 138 15 14 Interest Receivable1 Accounts Receivable

Accrued Revenue99 Due from Other Funds

Inventory- Materials and Supplies

$ 5,151 $ 3,492 $ 956 $ 1,036 Total Assets

Liabilities:$ $ $ $ 886 Accrued Expenditures

328 Salaries and Employee Benefits PayableAdvances from Other Funds

260 1,927 Due to Other FundsDue to Other Agencies

190 Loans PayableDeferred Revenue

190 588 2,813 Total Liabilities

Fund Balance (Deficit):4,047 2,067 189 3,618 Reserved (Note III L)

Unreserved:254 837 417 Designated (Note III L)660 350 (5,395) Undesignated

4,961 2,904 956 (1,777) Total Fund Balance (Deficit)

$ 5,151 $ 3,492 $ 956 $ 1,036 Total Liabilities and Fund Balance

ASSETS


95

COUNTY OF KERNCOMBINING BALANCE SHEETSPECIAL REVENUE FUNDS (CONTINUED)JUNE 30, 2000 (IN THOUSANDS)

Page 2 of 2

LOCAL PLANNED LOCALHUMAN PUBLIC MENTAL DRAINAGE

SERVICES SAFETY HEALTH FACILITY

Pooled Cash and Investments $ 4,444 $ $ 3,451 $ 495Revolving Fund Cash 100 4Interest Receivable 21 101 8Accounts Receivable 2 106Accrued Revenue 13,503 5,497 7,657Due from Other Funds 1,483Inventory- Materials and Supplies

Total Assets $ 18,070 $ 5,497 $ 12,802 $ 503

Liabilities:Accrued Expenditures $ $ $ $Salaries and Employee Benefits Payable 1,874 815Advances from Other FundsDue to Other Funds 2,695Due to Other Agencies 1,483Loans PayableDeferred Revenue 8,891

Total Liabilities 10,765 2,695 2,298

Fund Balance (Deficit):Reserved (Note III L) 7,316 6,445 154Unreserved:

Designated (Note III L) 3,803 76Undesignated (11) 2,802 256 273

Total Fund Balance (Deficit) 7,305 2,802 10,504 503

Total Liabilities and Fund Balance $ 18,070 $ 5,497 $ 12,802 $ 503

ASSETS


96

of 2

PUBLIC OTHERIMPROVEMENT STRUCTURAL SPECIAL

DISTRICTS ROAD FIRE REVENUE

$ 24 $ 7,652 $ 8,918 $ 9,528 Pooled Cash and Investments2 Revolving Fund Cash

99 88 9 Interest Receivable1 Accounts Receivable

1,417 830 Accrued Revenue299 270 Due from Other Funds

1,546 394 Inventory- Materials and Supplies

$ 24 $ 10,714 $ 10,532 $ 9,807 Total Assets

Liabilities:$ $ $ $ Accrued Expenditures

311 2,071 Salaries and Employee Benefits Payable25 Advances from Other Funds

Due to Other FundsDue to Other AgenciesLoans PayableDeferred Revenue

25 311 2,071 Total Liabilities

Fund Balance (Deficit):8,839 5,206 117 Reserved (Note III L)

Unreserved:1,259 Designated (Note III L)

(1) 1,564 3,255 8,431 Undesignated

(1) 10,403 8,461 9,807 Total Fund Balance (Deficit)

$ 24 $ 10,714 $ 10,532 $ 9,807 Total Liabilities and Fund Balance

ASSETS


97

COUNTY OF KERNCOMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES (DEFICIT)SPECIAL REVENUE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Page 1 of 2AGING AND COMMUNITY

ADULT BUILDING DEVELOPMENTTOTAL SERVICES INSPECTION PROGRAM

REVENUES:Taxes $ 36,429 $ $ $Licenses, Permits and Franchises 2,806 2,708Fines, Forfeitures and Penalties 4,354Revenues from Use of Money and Property 1,704 15 82 6Aid from Other Governmental Agencies 394,574 5,914 9,028Charges for Current Services 44,465 470 29Other Revenues 2,482 163 12 484

Total Revenues 486,814 6,562 2,831 9,518


Public Protection 103,829 2,822Health and Sanitation 63,296Public Assistance 274,860 6,290 9,478Education 37Public Ways and Facilities 18,764

Capital Outlay 221

Total Expenditures 461,007 6,290 2,822 9,478

Excess (Deficiency) of Revenues Over Expenditures 25,807 272 9 40

OTHER FINANCING SOURCES (USES):Operating Transfers In 130 130Operating Transfers (Out) (1,283)Inception of Capital Leases 221

Total Other Financing Sources (Uses) (932) 130


Expenditures and Other Financing Uses 24,875 402 9 40

Fund Balance (Deficit), July 1, 1999 33,661 1,292 (35)

Fund Balance (Deficit), June 30, 2000 $ 58,536 $ 402 $ 1,301 $ 5

98

of 2COUNTY DISTRICT EMERGENCY EMPLOYERS'SERVICE ATTORNEY MEDICAL TRAININGAREAS FAMILY SUPPORT SERVICES RESOURCE

REVENUES:$ 1,706 $ $ $ Taxes

Licenses, Permits and Franchises50 1,083 Fines, Forfeitures and Penalties

297 317 40 73 Revenues from Use of Money and Property20,471 131 32,803 Aid from Other Governmental Agencies

139 Charges for Current Services58 661 2 Other Revenues

2,250 21,449 1,254 32,878 Total Revenues


22 23,210 Public Protection454 946 Health and Sanitation

28,817 Public AssistanceEducation

1,320 Public Ways and FacilitiesCapital Outlay

1,796 23,210 946 28,817 Total Expenditures

454 (1,761) 308 4,061 Excess (Deficiency) of Revenues Over Expenditures

OTHER FINANCING SOURCES (USES):Operating Transfers InOperating Transfers (Out)Inception of Capital Leases

Total Other Financing Sources (Uses)


454 (1,761) 308 4,061 Expenditures and Other Financing Uses

4,507 4,665 648 (5,838) Fund Balance (Deficit), July 1, 1999

$ 4,961 $ 2,904 $ 956 $ (1,777) Fund Balance (Deficit), June 30, 2000

99

COUNTY OF KERNCOMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES (DEFICIT) (CONTINUED)SPECIAL REVENUE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Page 2 of 2LOCAL PLANNED LOCAL

HUMAN PUBLIC MENTAL DRAINAGESERVICES SAFETY HEALTH FACILITY

REVENUES:Taxes $ $ $ $Licenses, Permits and Franchises 1Fines, Forfeitures and PenaltiesRevenues from Use of Money and Property 79 358 27Aid from Other Governmental Agencies 231,060 33,612 35,415Charges for Current Services 304 27,646Other Revenues 16 64

Total Revenues 231,459 33,612 63,483 28


Public Protection 30,810 127Health and Sanitation 61,623Public Assistance 230,275EducationPublic Ways and Facilities

Capital Outlay 105 116

Total Expenditures 230,380 30,810 61,739 127

Excess (Deficiency) of Revenues Over Expenditures 1,079 2,802 1,744 (99)

OTHER FINANCING SOURCES (USES):Operating Transfers InOperating Transfers (Out)Inception of Capital Leases 105 116

Total Other Financing Sources (Uses) 105 116


Expenditures and Other Financing Uses 1,184 2,802 1,860 (99)

Fund Balance (Deficit), July 1, 1999 6,121 8,644 602

Fund Balance (Deficit), June 30, 2000 $ 7,305 $ 2,802 $ 10,504 $ 503

100

of 2PUBLIC OTHER

IMPROVEMENT STRUCTURAL SPECIALDISTRICTS ROAD FIRE REVENUE

REVENUES:$ 22 $ 647 $ 34,054 $ Taxes

1 96 Licenses, Permits and Franchises1 37 3,183 Fines, Forfeitures and Penalties1 230 170 9 Revenues from Use of Money and Property

17,223 1,420 7,497 Aid from Other Governmental Agencies1,268 13,739 870 Charges for Current Services

964 29 29 Other Revenues

24 20,332 49,450 11,684 Total Revenues


43,350 3,488 Public Protection273 Health and Sanitation

Public Assistance37 Education

26 17,418 Public Ways and FacilitiesCapital Outlay

26 17,418 43,350 3,798 Total Expenditures

(2) 2,914 6,100 7,886 Excess (Deficiency) of Revenues Over Expenditures

OTHER FINANCING SOURCES (USES): Operating Transfers In

(1,283) Operating Transfers (Out) Inception of Capital Leases

(1,283) Total Other Financing Sources (Uses)


(2) 2,914 4,817 7,886 Expenditures and Other Financing Uses

1 7,489 3,644 1,921 Fund Balance (Deficit), July 1, 1999

$ (1) $ 10,403 $ 8,461 $ 9,807 Fund Balance (Deficit), June 30, 2000

101

COUNTY OF KERN COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)BUDGET AND ACTUAL ON BUDGETARY BASIS CERTAIN SPECIAL REVENUE FUNDS YEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

TOTAL



REVENUES:Taxes $ 33,606 $ 36,430 $ 2,824Licenses, Permits and Franchises 3,761 2,806 (955)Fines, Forfeitures and Penalties 3,445 4,355 910Revenues from Use of Money and Property 647 1,704 1,057Aid from Other Governmental Agencies 446,796 394,572 (52,224)Charges for Current Services 38,909 44,465 5,556Other Revenues 7,287 2,471 (4,816)

Total Revenues 534,451 486,803 (47,648)


Public ProtectionSalaries & Benefits 77,261 76,743 518Services & Supplies 26,377 25,926 451Other Charges 3,851 2,564 1,287Fixed Assets 2,489 2,197 292Transfers & Reimbursements (467) (467)Appropriation for Contingencies 250 250

Total Public Protection 109,761 106,963 2,798

Health and SanitationSalaries & Benefits 23,065 22,646 419Services & Supplies 45,095 43,929 1,166Other Charges 3,456 3,317 139Fixed Assets 63 63Appropriation for Contingencies 49 1 48

Total Health and Sanitation 71,728 69,956 1,772

Public AssistanceSalaries & Benefits 58,351 56,907 1,444Services & Supplies 118,945 91,908 27,037Other Charges 155,970 142,641 13,329Fixed Assets 263 204 59Appropriation for Contingencies 946 946

Total Public Assistance 334,475 291,660 42,815

EducationServices & Supplies 38 37 1

Total Education 38 37 1

Public Ways and FacilitiesSalaries & Benefits 7,310 6,860 450Services & Supplies 23,050 17,671 5,379Other Charges 277 274 3Fixed Assets 1,407 1,272 135Appropriation for Contingencies 123 123

Total Public Ways and Facilities 32,167 26,077 6,090



OTHER FINANCING SOURCES (USES):Operating Transfers Out (1,153) (1,153)Proceeds from issuance of debt 275 12 (263)

Total Other Financing Sources (Uses) 275 (1,141) (1,416)





102

COUNTY OF KERN COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)BUDGET AND ACTUAL ON BUDGETARY BASIS (CONTINUED)CERTAIN SPECIAL REVENUE FUNDS YEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

AGING AND ADULT SERVICES



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 15 15Aid from Other Governmental Agencies 7,951 5,913 (2,038)Charges for Current Services 470 470Other Revenues 103 163 60

Total Revenues 8,054 6,561 (1,493)


Public AssistanceSalaries & Benefits 3,253 2,392 861Services & Supplies 2,685 2,147 538Other Charges 2,386 2,200 186Fixed Assets 22 22


Excess (Deficiency) of Revenues Over Expenditures (292) (200) 92

OTHER FINANCING SOURCES (USES):Operating Transfers Out 130 130



Expenditures and Other Financing Uses (292) (70) 222

Fund Balance (Deficit), July 1, 1999

Fund Balance (Deficit), June 30, 2000 $ (292) $ (70) $ 222

103


BUILDING INSPECTION



REVENUES:Taxes $ $ $Licenses, Permits and Franchises 3,671 2,708 (963)Fines, Forfeitures and PenaltiesRevenues from Use of Money and Property 40 81 41Aid from Other Governmental AgenciesCharges for Current Services 15 29 14Other Revenues 21 12 (9)

Total Revenues 3,747 2,830 (917)


Public ProtectionSalaries & Benefits 1,874 1,793 81Services & Supplies 1,150 883 267Other Charges 62 62Fixed Assets 387 356 31Appropriation for Contingencies 244 244

Total Expenditures 3,717 3,094 623

Excess (Deficiency) of Revenues Over Expenditures 30 (264) (294)

OTHER FINANCING SOURCES (USES):Operating Transfers Out



Expenditures and Other Financing Uses 30 (264) (294)


Fund Balance (Deficit), June 30, 2000 $ 1,322 $ 1,028 $ (294)

104


COMMUNITY DEVELOPMENT



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 6 6Aid from Other Governmental Agencies 29,502 9,028 (20,474)Charges for Current Services 18 (18)Other Revenues 1,318 485 (833)

Total Revenues 30,838 9,519 (21,319)


Public AssistanceServices & Supplies 29,851 14,973 14,878Appropriation for Contingencies 946 946


Excess (Deficiency) of Revenues Over Expenditures 41 (5,454) (5,495)




Expenditures and Other Financing Uses 41 (5,454) (5,495)

Fund Balance (Deficit), July 1, 1999 (35) (35)

Fund Balance (Deficit), June 30, 2000 $ 6 $ (5,489) $ (5,495)

105


COUNTY SERVICE AREAS



REVENUES:Taxes $ 1,827 $ 1,706 $ (121)Licenses, Permits and FranchisesFines, Forfeitures and Penalties 50 50Revenues from Use of Money and Property 149 297 148Aid from Other Governmental AgenciesCharges for Current Services 272 139 (133)Other Revenues 46 46

Total Revenues 2,248 2,238 (10)


Public ProtectionServices & Supplies 73 21 52Other Charges 1 1Appropriation for Contingencies 6 6

Total Public Protection 80 22 58

Health and SanitationServices & Supplies 737 461 276Other Charges 21 19 2Appropriation for Contingencies 49 1 48

Total Health and Sanitation 807 481 326

Public Ways and FacilitiesServices & Supplies 1,752 1,311 441Other Charges 33 29 4Appropriation for Contingencies 123 123

Total Public Ways and Facilities 1,908 1,340 568


Excess (Deficiency) of Revenues Over Expenditures (547) 395 942

OTHER FINANCING SOURCES (USES):Operating Transfers OutProceeds from Issuance of Debt 275 12 (263)

Total Other Financing Sources (Uses) 275 12 (263)

Excess (Deficiency) of Revenues and Other Financing Sources OverExpenditures and Other Financing Uses (272) 407 679


Fund Balance (Deficit), June 30, 2000 $ 4,235 $ 4,914 $ 679

106


DISTRICT ATTORNEY - FAMILY SUPPORT



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 150 317 167Aid from Other Governmental Agencies 22,776 20,470 (2,306)Charges for Current ServicesOther Revenues 152 661 509

Total Revenues 23,078 21,448 (1,630)


Public ProtectionSalaries & Benefits 10,153 9,768 385Services & Supplies 13,563 13,545 18Other Charges 302 302Fixed Assets 21 16 5


Excess (Deficiency) of Revenues Over Expenditures (961) (2,183) (1,222)




Expenditures and Other Financing Uses (961) (2,183) (1,222)


Fund Balance (Deficit), June 30, 2000 $ 3,704 $ 2,482 $ (1,222)

107


EMERGENCY MEDICAL SERVICES



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and Penalties 916 1,083 167Revenues from Use of Money and Property 37 40 3Aid from Other Governmental Agencies 251 131 (120)Charges for Current ServicesOther Revenues



Health and SanitationSalaries & Benefits 194 194Services & Supplies 1,239 938 301Other Charges 4 4


Excess (Deficiency) of Revenues Over Expenditures (233) 118 351




Expenditures and Other Financing Uses (233) 118 351

Fund Balance (Deficit), July 1, 1999 648 648

Fund Balance (Deficit), June 30, 2000 $ 415 $ 766 $ 351

108


EMPLOYERS' TRAINING RESOURCE



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 73 73Aid from Other Governmental Agencies 54,470 32,803 (21,667)Charges for Current ServicesOther Revenues 85 2 (83)

Total Revenues 54,555 32,878 (21,677)


Public AssistanceServices & Supplies 21,938 14,606 7,332Other Charges 26,781 17,829 8,952


Excess (Deficiency) of Revenues Over Expenditures 5,836 443 (5,393)




Expenditures and Other Financing Uses 5,836 443 (5,393)

Fund Balance (Deficit), July 1, 1999 (5,838) (5,838)

Fund Balance (Deficit), June 30, 2000 $ (2) $ (5,395) $ (5,393)

109


HUMAN SERVICES



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 79 79Aid from Other Governmental Agencies 236,904 231,060 (5,844)Charges for Current Services 72 304 232Other Revenues 3,600 16 (3,584)

Total Revenues 240,576 231,459 (9,117)


Public AssistanceSalaries & Benefits 55,098 54,515 583Services & Supplies 64,471 60,182 4,289Other Charges 126,803 122,612 4,191Fixed Assets 241 182 59


Excess (Deficiency) of Revenues Over Expenditures (6,037) (6,032) 5




Expenditures and Other Financing Uses (6,037) (6,032) 5



110


LOCAL PUBLIC SAFETY



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and PropertyAid from Other Governmental Agencies 30,810 33,612 2,802Charges for Current ServicesOther Revenues

Total Revenues 30,810 33,612 2,802


Public ProtectionSalaries & Benefits 25,684 25,684Services & Supplies 4,356 4,356Other Charges 688 688Fixed Assets 98 98Transfers & Reimbursements (16) (16)

Total Expenditures 30,810 30,810

Excess (Deficiency) of Revenues Over Expenditures 2,802 2,802

OTHER FINANCING SOURCES (USES):Operating Transfers In



Expenditures and Other Financing Uses 2,802 2,802

Fund Balance (Deficit), July 1, 1999

Fund Balance (Deficit), June 30, 2000 $ $ 2,802 $ 2,802

111


MENTAL HEALTH



REVENUES:Taxes $ $ $Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 30 359 329Aid from Other Governmental Agencies 41,617 35,415 (6,202)Charges for Current Services 22,661 27,646 4,985Other Revenues 101 64 (37)

Total Revenues 64,409 63,484 (925)


Health and Sanitation Salaries & Benefits 22,806 22,387 419Services & Supplies 42,974 42,385 589Other Charges 3,429 3,232 197Fixed Assets 62 62Transfers & Reimbursements


Excess (Deficiency) of Revenues Over Expenditures (4,862) (4,582) 280




Expenditures and Other Financing Uses (4,862) (4,582) 280


Fund Balance (Deficit), June 30, 2000 $ 3,782 $ 4,062 $ 280

112


PLANNED LOCAL DRAINAGE



REVENUES:Taxes $ $ $Licenses, Permits and Franchises 1 1Fines, Forfeitures and PenaltiesRevenues from Use of Money and Property 27 27Aid from Other Governmental AgenciesCharges for Current ServicesOther Revenues

Total Revenues 28 28


Public ProtectionFixed Assets 374 127 247

Total Expenditures 374 127 247

Excess (Deficiency) of Revenues Over Expenditures (374) (99) 275




Expenditures and Other Financing Uses (374) (99) 275

Fund Balance (Deficit), July 1, 1999 602 602


113


ROAD



REVENUES:Taxes $ 651 $ 647 $ (4)Licenses, Permits and FranchisesFines, Forfeitures and PenaltiesRevenues from Use of Money and Property 135 230 95Aid from Other Governmental Agencies 20,961 17,223 (3,738)Charges for Current Services 979 1,268 289Other Revenues 1,687 964 (723)

Total Revenues 24,413 20,332 (4,081)


Public Ways and FacilitiesSalaries & Benefits 7,310 6,860 450Services & Supplies 21,298 16,360 4,938Other Charges 244 219 25Fixed Assets 1,407 1,272 135









114


STRUCTURAL FIRE



REVENUES:Taxes $ 31,128 $ 34,055 $ 2,927Licenses, Permits and Franchises 1 1Fines, Forfeitures and Penalties 15 37 22Revenues from Use of Money and Property 100 170 70Aid from Other Governmental Agencies 1,375 1,420 45Charges for Current Services 13,869 13,739 (130)Other Revenues 195 29 (166)

Total Revenues 46,682 49,451 2,769


Public ProtectionSalaries & Benefits 38,051 37,999 52Services & Supplies 5,068 4,994 74Other Charges 2,535 1,251 1,284Fixed Assets 1,542 1,533 9


Excess (Deficiency) of Revenues Over Expenditures (514) 3,674 4,188

OTHER FINANCING SOURCES (USES):Operating Transfers Out (1,283) (1,283)

Total Other Financing Sources (Uses) (1,283) (1,283)


Expenditures and Other Financing Uses (514) 2,391 2,905



115

COUNTY OF KERN COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)BUDGET AND ACTUAL ON BUDGETARY BASIS (CONTINUED)CERTAIN SPECIAL REVENUE FUNDS YEAR ENDED JUNE 30, 2000 (IN THOUSANDS) Page 1 of 2

OTHER SPECIAL REVENUE



REVENUES:Taxes $ $ $Licenses, Permits and Franchises 90 96 6Fines, Forfeitures and Penalties 2,514 3,183 669Revenues from Use of Money and Property 6 9 3Aid from Other Governmental Agencies 179 7,497 7,318Charges for Current Services 1,023 870 (153)Other Revenues 25 29 4

Total Revenues 3,837 11,684 7,847

EXPENDITURES:Current:Public Protection:

Automated County Warrant SystemSalaries & Benefits 23 23Services & Supplies 38 38Fixed Assets 2 2Transfers & Reimbursements (15) (15)

48 48Criminal Justice Facility

Salaries & Benefits 602 602Services & Supplies 1,852 1,852Other Charges 43 43Fixed Assets 62 62Transfers & Reimbursements (436) (436)

2,123 2,123

Sheriff TrainingSalaries & Benefits 125 125Services & Supplies 26 26Other Charges 3 3Fixed Assets 1 1

155 155Automated Fingerprint

Salaries & Benefits 182 182Services & Supplies 38 38Other Charges 5 5Fixed Assets 1 1

226 226Probation Training

Salaries & Benefits 143 143Services & Supplies 18 18Other Charges 5 5

166 166

Domestic ViolenceSalaries & Benefits 77 77Services & Supplies 10 10Other Charges 3 3

90 90

Family Court ServiceSalaries & Benefits 30 30Services & Supplies 4 4Other Charges 1 1

35 35

Recorders FeeSalaries & Benefits 198 198Services & Supplies 97 97Other Charges 178 178

473 473

116

COUNTY OF KERN COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)BUDGET AND ACTUAL ON BUDGETARY BASIS (CONTINUED)CERTAIN SPECIAL REVENUE FUNDS Page 2 of 2

OTHER SPECIAL REVENUE



Public Protection (continued):Micrographics

Salaries & Benefits $ 108 $ 108 $Services & Supplies 20 20

128 128Range Improvement

Services & Supplies 55 15 40

Wildlife ResourcesServices & Supplies 3 3Other Charges 25 22 3

28 25 3Off Highway Motor Vehicle License

Salaries & Benefits 12 12Services & Supplies 5 5Fixed Assets 1 1

18 18

Total Public Protection 3,545 3,502 43

Health and Sanitation:Alcohol Program


90 90Alcohol Abuse


78 78Drug Program

Salaries & Benefits 6 6Services & Supplies 16 16

22 22

Litter CleanupSalaries & Benefits 15 15Services & Supplies 7 7Fixed Assets 1 1

23 23

Tobacco Litigation SettlementOther Charges 61 (61)

Total Health and Sanitation 213 274

Education:Experimental Farm

Services & Supplies 38 37 1Total Education 38 37 1

Total Expenditures 3,796 3,813 (17)

Excess (Deficiency) of Revenues Over Expenditures 41 7,871 7,830




Expenditures and Other Financing Uses 41 7,871 7,830



117

118

CAPITAL PROJECTS FUNDS DESCRIPTIONS

The Capital Projects Funds serve as depositories for revenues received from the sale of real property and suchother revenue as designated by the Board of Supervisors. These funds are generally appropriated for capitaloutlay by the Board of Supervisors.

Master Lease - This fund accounts for proceeds from the Master Lease financing for the acquisition andinstallation of the emergency computer aided dispatch (CAD) system for the Sheriff and Fire departments.

Accumulated Capital Outlay - Road - This fund accounts for proceeds from the sale of real property –which are used for capital outlay purposes.

Certificates of Participation - This fund accounts for the proceeds from the Certificates of Participationused for the construction of various County facilities.

Separation of Grade – This fund accounts for the proceeds from various participating entities such as theState of California, City of Bakersfield, and Union Pacific Railroad for the Oak Creek and Calloway RoadSeparation of Grade construction projects.

Public Health Facility – This fund accounts for the loan proceeds used for the construction of a new publichealth facility.

COUNTY OF KERNCOMBINING BALANCE SHEETCAPITAL PROJECTS FUNDSJUNE 30, 2000 (IN THOUSANDS)

ACCUMULATIVEMASTER CAPITAL OUTLAY

TOTAL LEASE ROAD

Pooled Cash and Investments $ 2,592 $ 67 $ 13Interest Receivable 28

Total Assets $ 2,620 $ 67 $ 13

Liabilities:Accrued Expenditures $ 225 $ $Advances from Other Funds 4,500


Fund Balance:Reserved:Encumbrances (Note III L) 16,015

Unreserved:Designated (Note III L) 12 12Undesignated (18,132) 67 1

Total Fund Balance (2,105) 67 13 Total Liabilities and Fund Balance $ 2,620 $ 67 $ 13

ASSETS


119

PUBLICCERTIFICATES SEPARATION HEALTH

OF PARTICIPATION OF GRADE FACILITY

$ $ 1,544 $ 968 Pooled Cash and Investments

28 Interest Receivable

$ $ 1,572 $ 968 Total Assets

Liabilities:$ $ $ 225 Accrued Expenditures

4,500 Advances from Other Funds

4,500 225 Total Liabilities

Fund Balance:Reserved:

5,565 10,450 Encumbrances (Note III L)

Unreserved:Designated (Note III L)

(8,493) (9,707) Undesignated

(2,928) 743 Total Fund Balance

$ $ 1,572 $ 968 Total Liabilities and Fund Balance

ASSETS


120

COUNTY OF KERNCOMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES (DEFICIT)CAPITAL PROJECT FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

ACCUMULATIVEMASTER CAPITAL OUTLAY

TOTAL LEASE ROAD

REVENUES:

Revenues From Use of Money $ 83 $ $ 1Aid From Other Governments 1,693Other Revenues 1,290

Total Revenues 3,066 1

EXPENDITURES:

Capital Outlay 6,113 199

Total Expenditures 6,113 199

Excess (Deficiency) of Revenues over Expenditures (3,047) (199) 1

OTHER FINANCING SOURCES (USES):Operating Transfer In 2,024Operating Transfer Out (12)

Total Other Financing Sources (Uses) 2,012

Excess (Deficiency) of Revenues and Other Financing Sources over Expenditures and Other Financing Uses (1,035) (199) 1

Fund Balance, July 1, 1999 (1,070) 266 12

Fund Balance, June 30, 2000 $ (2,105) $ 67 $ 13

121

PUBLICCERTIFICATES SEPARATION HEALTH

OF PARTICIPATION OF GRADE FACILITY

REVENUES:

$ 2 $ 88 $ (8) Revenues From Use of Money1,693 Aid From Other Governments

90 1,200 Other Revenues

2 1,871 1,192 Total Revenues

EXPENDITURES:

1,678 3,441 795 Capital Outlay

1,678 3,441 795 Total Expenditures

(1,676) (1,570) 397 Excess (Deficiency) of Revenues over Expenditures

OTHER FINANCING SOURCES (USES):1,678 346 Operating Transfer In

(12) Operating Transfer Out

1,666 346 Total Other Financing Sources (Uses)

Excess (Deficiency) of Revenues and Other Financing Sources over

(10) (1,570) 743 Expenditures and Other Financing Uses

10 (1,358) Fund Balance, July 1, 1999

$ $ (2,928) $ 743 Fund Balance, June 30, 2000

122

COUNTY OF KERNCOMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)BUDGET AND ACTUAL ON BUDGETARY BASISCERTAIN CAPITAL PROJECT FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

TOTAL



REVENUES:Revenues From Use of Money $ $ 82 $ 82Aid From Other Governments 7,119 1,693 (5,426)Other Revenues 3,450 1,290 (2,160)

Total Revenues 10,569 3,065 (7,504)

EXPENDITURES:General Government

Services and Supplies 50 50Capital Outlay 31,471 21,968 9,503Appropriation for Contingencies 56 56


Excess (Deficiency) of Revenues over Expenditures (21,008) (18,903) 2,105

OTHER FINANCING SOURCES (USES):Operating Transfer In 2,025 2,025Operating Transfer Out (12) (12)




Fund Balance, July 1, 1999 (1,082) (1,082)

Fund Balance, June 30, 2000 $ (22,090) $ (17,972) $ 4,118

123


MASTER LEASE



REVENUES:Revenues From Use of Money $ $ $Aid From Other Governments Other Revenues

Total Revenues


Services and Supplies 50 50Capital Outlay 1,350 199 1,151Appropriation for Contingencies


Excess (Deficiency) of Revenues over Expenditures (1,400) (199) 1,201

OTHER FINANCING SOURCES (USES):Operating Transfer InOperating Transfer Out




Fund Balance, July 1, 1999 266 266

Fund Balance, June 30, 2000 $ (1,134) $ 67 $ 1,201

124


CERTIFICATES OF PARTICIPATION



REVENUES:Revenues From Use of Money $ $ 2 $ 2Aid From Other Governments Other Revenues

Total Revenues 2 2


Services and SuppliesCapital Outlay 9,864 1,678 8,186Appropriation for Contingencies 56 56



OTHER FINANCING SOURCES (USES):Operating Transfer In 1,678 1,678Operating Transfer Out (12) (12)




Fund Balance, July 1, 1999 10 10

Fund Balance, June 30, 2000 $ (9,910) $ $ 9,910

125


SEPARATION OF GRADE



REVENUES:Revenues From Use of Money $ $ 88 $ 88Aid From Other Governments 7,119 1,693 (5,426)Other Revenues 3,450 90 (3,360)

Total Revenues 10,569 1,871 (8,698)


Services and SuppliesCapital Outlay 9,057 8,846 211Appropriation for Contingencies


Excess (Deficiency) of Revenues over Expenditures 1,512 (6,975) (8,487)

OTHER FINANCING SOURCES (USES):Operating Transfer InOperating Transfer Out



Expenditures and Other Financing Uses 1,512 (6,975) (8,487)

Fund Balance, July 1, 1999 (1,358) (1,358)

Fund Balance, June 30, 2000 $ 154 $ (8,333) $ (8,487)

126


PUBLIC HEALTH FACILITY



REVENUES:Revenues From Use of Money $ $ (8) $ (8)Aid From Other Governments Other Revenues 1,200 1,200

Total Revenues 1,192 1,192


Services and SuppliesCapital Outlay 11,200 11,244 (44)Appropriation for Contingencies

Total Expenditures 11,200 11,244 (44)


OTHER FINANCING SOURCES (USES):Operating Transfer In 346 346Operating Transfer Out




Fund Balance, July 1, 1999

Fund Balance, June 30, 2000 $ (11,200) $ (9,706) $ 1,494

127

128

DEBT SERVICE FUNDS DESCRIPTIONS

Debt Service funds account for the accumulation of resources for the payment of general long-term debtprincipal, interest and related costs.

Accumulated Capital Outlay - General, and Accumulated Capital Outlay - Fire - These funds providefor the funding of lease payments, consisting of both interest and principal, on the Certificates of Participationissued by the County to finance the construction of various County Facilities.

County of Kern Asset Leasing - This is a non-profit public benefit corporation established to assist theCounty of Kern by acquiring equipment and facilities financed from the proceeds of borrowings and leasingsuch equipment and facilities to the County.

Pension Obligation Bond Trustee – This fund administers the debt service payments related to theCounty’s pension obligation bond.

Public Health Facility Loan Trustee – This fund administers the debt service payments related to thePublic Health Facility loan.

COUNTY OF KERNCOMBINING BALANCE SHEETDEBT SERVICE FUNDSJUNE 30, 2000 (IN THOUSANDS)

ACCUMULATIVE ACCUMULATIVECAPITAL OUTLAY CAPITAL OUTLAY

TOTAL GENERAL FIRE

Pooled Cash and Investments $ 36,784 $ 32,082 $ 4,702Cash and Investments Deposited with Trustee 35,932Interest Receivable 554 481 73Loans Receivable 2,428 2,428Advances to Other Funds 4,500 4,500

Total Assets $ 80,198 $ 39,491 $ 4,775

Fund Balance:Reserved (Note lll L) $ 35,480 $ 31,958 $ 3,522Unreserved:Designated (Note lll L) 35,932Undesignated 8,786 7,533 1,253

Total Fund Balance 80,198 39,491 4,775 Total Liabilities and Fund Balance $ 80,198 $ 39,491 $ 4,775

ASSETS

FUND BALANCE

129

PENSION PUBLIC HEALTHKERN ASSET OBLIGATION FACILITY

LEASING BOND TRUSTEE LOAN TRUSTEE

$ $ $ Pooled Cash and Investments

26,271 9,661 Cash and Investments Deposited with TrusteeInterest ReceivableLoans ReceivableAdvances to Other Funds

$ 26,271 $ $ 9,661 Total Assets

Fund Balance:$ $ $ Reserved (Note lll L)

Unreserved:26,271 9,661 Designated (Note lll L)

Undesignated

26,271 9,661 Total Fund Balance

$ 26,271 $ $ 9,661 Total Liabilities and Fund Balance

ASSETS


130

COUNTY OF KERNCOMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)DEBT SERVICE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

ACCUMULATIVE ACCUMULATIVECAPITAL OUTLAY CAPITAL OUTLAY

TOTAL GENERAL FIRE

REVENUES:Revenues from Use of Money or Property $ 4,320 $ 2,587 $ 254Other Revenue 10,248


EXPENDITURES:General Government 502 502Public Protection 83 83Debt Service: Principal 8,030

Interest 13,547

Total Expenditures 22,162 502 83

Excess (Deficiency) of Revenues over Expenditures (7,594) 2,085 171

OTHER FINANCING SOURCES (USES):Operating Transfer In 5,605 12Operating Transfer Out (4,778) (2,140) (344)Proceeds of Long Term Debt 16,815

Total Other Financing Sources (Uses) 17,642 (2,140) (332)


Expenditures and Other Financing Uses 10,048 (55) (161)

Fund Balance, July 1, 1999 70,150 39,546 4,936

Fund Balance, June 30, 2000 $ 80,198 $ 39,491 $ 4,775

131

PENSION PUBLIC HEALTHKERN ASSET OBLIGATION FACILITY

LEASING BOND TRUSTEE LOAN TRUSTEE

REVENUES:$ 1,203 $ 269 $ 7 Revenues from Use of Money or Property

10,248 Other Revenue

1,203 10,517 7 Total Revenues

EXPENDITURES:General GovernmentPublic ProtectionDebt Service:

8,030 Principal3,299 10,248 Interest

11,329 10,248 Total Expenditures

(10,126) 269 7 Excess (Deficiency) of Revenues over Expenditures

OTHER FINANCING SOURCES (USES):5,593 Operating Transfer In

(1,678) (270) (346) Operating Transfer Out6,815 10,000 Proceeds of Long Term Debt

10,730 (270) 9,654 Total Other Financing Sources (Uses)


604 (1) 9,661 Expenditures and Other Financing Uses

25,668 Fund Balance, July 1, 1999

$ 26,272 $ (1) $ 9,661 Fund Balance, June 30, 2000

132

COUNTY OF KERNCOMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES (DEFICIT)BUDGET AND ACTUAL ON BUDGETARY BASISCERTAIN DEBT SERVICE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

TOTAL



REVENUES:Revenues from Use of Money or Property $ 1,901 $ 2,840 $ 939Other Revenue



Services and Supplies 541 502 39Appropriation for Contingencies 1,573 1,573

Total General Government 2,114 502 1,612

Public ProtectionServices and Supplies 88 83 5Appropriation for Contingencies 257 257

Total Public Protection 345 83 262


Excess (Deficiency) of Revenues over Expenditures (558) 2,255 2,813

OTHER FINANCING SOURCES (USES):Operating Transfer In 12 12Operating Transfer Out (9,534) (2,484) 7,050




Fund Balance, July 1, 1999 44,483 44,483


133


ACCUMULATIVE CAPITAL OUTLAY - GENERAL



REVENUES:Revenues from Use of Money or Property $ 1,651 $ 2,587 $ 936



Services and Supplies 541 502 39Appropriation for Contingencies 1,573 1,573


Excess (Deficiency) of Revenues over Expenditures (463) 2,085 2,548

OTHER FINANCING SOURCES (USES):Operating Transfers InOperating Transfers Out (8,195) (2,140) 6,055






134


ACCUMULATIVE CAPITAL OUTLAY - FIRE



REVENUES:Revenues from Use of Money or Property $ 250 $ 253 $ 3Other Revenue

Total Revenues 250 253 3

EXPENDITURES:Public Protection

Services and Supplies 88 83 5Appropriation for Contingencies 257 257

Total Expenditures 345 83 262

Excess (Deficiency) of Revenues over Expenditures (95) 170 265

OTHER FINANCING SOURCES (USES):Operating Transfer In 12 12Operating Transfers Out (1,339) (344) 995

Total Other Financing Sources (Uses) (1,339) (332) 1,007





135

136

ENTERPRISE FUNDS DESCRIPTIONS

Enterprise funds are used to account for operations: (a) that are financed and operated in a manner similarto private business (where the intent of the governing body is that the costs (expenses, includingdepreciation) of providing goods or services to the general public on a continuing basis be financed orrecovered primarily through user charges) or (b) where the governing body has decided that periodicdetermination of revenues earned, expenses incurred, and/or net income is appropriate for capitalmaintenance, public policy, management control, accountability, or other purposes.

Airports - This fund provides for the administration, maintenance and operation of the seven airports locatedin Bakersfield, Buttonwillow, Kern Valley, Lost Hills, Poso, Taft, and Wasco.

County Sanitation Districts - These funds consist of two sanitation districts, Kern Sanitation Authority andFord City-Taft Heights Sanitation District. These funds are administered by the Waste ManagementDepartment, which is responsible for the planning, design, construction, operations, and maintenance of theCounty’s Sanitation Districts.

Golf Course - This fund is used to finance new capital improvements and replace existing capitalimprovements as necessary. Revenues are generated primarily from a percentage of user fees collected bylessee.

Kern Medical Center - Kern Medical Center is a 261-bed acute care hospital, offering emergency, outpatientand inpatient medical care to all classes of patients, as authorized by the Board of Supervisors, includingMedi-Cal and Medicare eligibles, medically indigent persons, and inmates of County institutions and juvenilefacilities.

Public Transportation - This fund is administered by the Roads Department and provides for the planning,development and management of public transportation for intercity routes and in unincorporated areas ofKern County.

Waste Management - The fund provides for the operation, engineering, planning, and regulatorycompliance activities associated with the County’s Solid Waste Disposal System.

COUNTY OF KERNCOMBINING BALANCE SHEETENTERPRISE FUNDSJUNE 30, 2000 (IN THOUSANDS)

COUNTY SANITATION GOLF

TOTAL AIRPORTS DISTRICTS COURSE

Pooled Cash and Investments $ 110,535 $ 1,887 $ 3,817 $ 1,072Revolving Fund Cash 12Cash and Investments Deposited with Trustee 18,882 693Interest Receivable 1,649 35 61 15Accounts Receivable - Net 16,312 72 5Accrued Revenue 846 555Prepaid Items 1,725 13Due from Other Agencies 130 130Inventory - Materials and Supplies 829Land 17,181 5,834 618 65Subsurface Lines 4,368 4,368Structures and Improvements 111,276 27,471 9,049 6,649Equipment 38,870 1,459 834Land Acquisition in Progress 68Accumulated Depreciation and Amortization (60,256) (12,549) (3,123) (862)Construction in Progress 2,878 265 94

Total Assets $ 265,305 $ 25,159 $ 15,736 $ 7,632

Liabilities: Accrued Expenses $ 5,023 $ $ 102 $Salaries and Employee Benefits Payable 2,841 39Loans Payable 2,298 2,298Due to Other Funds 1,483Current Portion of Long Term Debt 3,479 165Deferred Income 241Estimate for Professional Liability Claims 8,464Compensated Absences Payable 5,905 179Long Term Debt - Capital Assets 70Long Term Debt - Certificates of Participation 41,972 4,175Long Term Debt - Pension Obligation Bonds 33,836 586Accrued Closure Liability 23,152Accrued Post Closure Liability 26,658

Total Liabilities 155,422 3,102 102 4,340

Fund Equity:Contributed Capital 19,465 362 1,848Retained Earnings (Deficit):

Reserved (Note lll K) 19,936 637 2,821 138Unreserved 70,482 21,058 12,813 1,306

Total Retained Earnings (Deficit) 90,418 21,695 15,634 1,444

Total Fund Equity 109,883 22,057 15,634 3,292 Total Liabilities and Fund Equity $ 265,305 $ 25,159 $ 15,736 $ 7,632

ASSETS

LIABILITIES AND FUND EQUITY

137

KERNMEDICAL PUBLIC WASTE CENTER TRANSPORTATION MANAGEMENT

$ 50,350 $ 936 $ 52,473 Pooled Cash and Investments

4 8 Revolving Fund Cash16,364 1,825 Cash and Investments Deposited with Trustee

730 17 791 Interest Receivable15,277 958 Accounts Receivable - Net

261 30 Accrued Revenue1,712 Prepaid Items

Due from Other Agencies829 Inventory - Materials and Supplies168 10,496 Land

Subsurface Lines47,818 107 20,182 Structures and Improvements31,577 3,623 1,377 Equipment

68 Land Acquisition in Progress(35,929) (1,370) (6,423) Accumulated Depreciation and Amortization

2,201 318 Construction in Progress

$ 131,101 $ 3,574 $ 82,103 Total Assets Liabilities:

$ 4,626 $ 295 $ Accrued Expenses2,628 7 167 Salaries and Employee Benefits Payable

Loans Payable 1,483 Due to Other Funds2,248 1,066 Current Portion of Long Term Debt

241 Deferred Income8,464 Estimate for Professional Liability Claims5,150 22 554 Compensated Absences Payable

70 Long Term Debt - Capital Assets25,537 12,260 Long Term Debt - Certificates of Participation31,387 119 1,744 Long Term Debt - Pension Obligation Bonds

23,152 Accrued Closure Liability26,658 Accrued Post Closure Liability

81,764 443 65,671 Total Liabilities

Fund Equity:17,197 58 Contributed Capital

Retained Earnings (Deficit):7,712 75 8,553 Reserved (Note lll K)

24,428 2,998 7,879 Unreserved

32,140 3,073 16,432 Total Retained Earnings (Deficit)

49,337 3,131 16,432 Total Fund Equity

$ 131,101 $ 3,574 $ 82,103 Total Liabilities and Fund Equity

ASSETS


138

COUNTY OF KERNCOMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS (DEFICIT)ENTERPRISE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

COUNTYSANITATION GOLF


OPERATING REVENUES:Patient Services $ 141,144 $ $ $Charges for Current Services 16,929 237 192 4,218Revenues from Use of Property 2,106 2,083 9Other Operating Revenues 3,406

Total Operating Revenues 163,585 2,320 201 4,218

OPERATING EXPENSES:Salaries and Employee Benefits 79,116 1,089Services and Supplies 59,187 1,041 1,888 3,649Other Charges 3,807 216 92Depreciation 6,313 310 336 159

Total Operating Expenses 148,423 2,656 2,316 3,808

Operating Income (Loss) 15,162 (336) (2,115) 410

NON-OPERATING REVENUES (EXPENSES):Taxes and Assessments 17,306 644 2,044Fines, Forfeitures and Penalties 386 103Licenses, Permits and Franchises 4 4Interest on Bank Deposits and Investments 5,429 96 192 87Aid from Other Governmental Agencies 34,706 1,181Health Care Expense (68,434)Interest Expense (2,167) (236)Other Non-Operating Revenues 4,169 133 1Gain (Loss) on Sale of Fixed Assets (196) (11) (26)

Total Non-Operating Revenues (Expenses) (8,797) 2,043 2,318 (149)

Income (Loss) before Operating Transfers 6,365 1,707 203 261

Operating Transfers In 16,763

Net Income (Loss) 23,128 1,707 203 261

Retained Earnings (Deficit), July 1, 1999 67,290 19,988 15,431 1,183

Retained Earnings (Deficit), June 30 , 2000 $ 90,418 $ 21,695 $ 15,634 $ 1,444

139

KERNMEDICAL PUBLIC WASTECENTER TRANSPORTATION MANAGEMENT

OPERATING REVENUES:$ 141,144 $ $ Patient Services

1,216 571 10,495 Charges for Current Services14 Revenues from Use of Property

3,406 Other Operating Revenues

145,766 571 10,509 Total Operating Revenues

OPERATING EXPENSES:73,102 185 4,740 Salaries and Employee Benefits37,428 3,092 12,089 Services and Supplies3,145 43 311 Other Charges4,375 411 722 Depreciation

118,050 3,731 17,862 Total Operating Expenses

27,716 (3,160) (7,353) Operating Income (Loss)

NON-OPERATING REVENUES (EXPENSES):2,802 11,816 Taxes and Assessments

4 279 Fines, Forfeitures and PenaltiesLicenses, Permits and Franchises

2,387 41 2,626 Interest on Bank Deposits and Investments31,706 1,585 234 Aid from Other Governmental Agencies

(68,434) Health Care Expense(1,175) (756) Interest Expense1,750 12 2,273 Other Non-Operating Revenues(105) (54) Gain (Loss) on Sale of Fixed Assets

(33,867) 4,386 16,472 Total Non-Operating Revenues (Expenses)

(6,151) 1,226 9,119 Income (Loss) before Operating Transfers

16,763 Operating Transfers In

10,612 1,226 9,119 Net Income (Loss)

21,528 1,847 7,313 Retained Earnings (Deficit), July 1, 1999

$ 32,140 $ 3,073 $ 16,432 Retained Earnings (Deficit), June 30 , 2000

140

COUNTY OF KERNCOMBINING STATEMENT OF CASH FLOWSENTERPRISE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Page 1 of 2


TOTAL AIRPORTS DISTRICTS COURSECASH FLOWS FROM OPERATING ACTIVITIES:

Cash Received for Patient/Current Services $ 167,140 $ 233 $ 188 $ 4,218Cash Received for Use of Property 2,106 2,083 9Cash Received for Other Operations 7,741 115 1Cash Paid for Salaries and Benefits (81,049) (1,074)Cash Paid for Services and Supplies (46,285) (1,072) (1,887) (3,649)Cash Paid for Other Charges (6,086) (216) (92)

Net Cash Provided (Used) by Operating Activities 43,567 69 (1,781) 569


Cash Received From Other Funds 16,763Taxes and Special Assessments 17,259 644 2,043Fines, Forfeitures, and Penalties 387 103Licenses and Permits 4 4Loans Paid (545) (545)Aid from Other Governmental Agencies 34,023 645Health Care Expense (68,434)

Net Cash Provided (Used) by Non-Capital Financing Activities (543) 744 2,150

CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:

Acquisition or Construction of Capital Assets (8,598) (91) (118) (166)Proceeds from Issuance of Certificates of Participation 13,655Payment of Long Term Debt - Certificates of Participation (3,160) (160)Interest Paid on Long Term Debt (2,167) (236)Payment of Capital Lease (40)

Net Cash Provided (Used) by Capital and Related Financing Activities (310) (91) (118) (562)


Interest on Bank Deposits and Investments 4,887 79 176 83

Net Increase (Decrease) in Cash and Cash Equivalents 47,601 801 427 90

Cash and Cash Equivalents, July 1, 1999 81,828 1,086 3,390 1,675

Cash and Cash Equivalents, June 30, 2000 $ 129,429 $ 1,887 $ 3,817 $ 1,765

141

of 2


CASH FLOWS FROM OPERATING ACTIVITIES:

$ 150,749 $ 553 $ 11,199 Cash Received for Patient /Current Services14 Cash Received for Use of Property

5,340 12 2,273 Cash Received for Other Operations(72,186) (3,090) (4,699) Cash Paid for Salaries and Benefits(27,499) (91) (12,087) Cash Paid for Services and Supplies(3,145) (43) (2,590) Cash Paid for Other Charges

53,259 (2,659) (5,890) Net Cash Provided (Used) by Operating Activities


16,763 Cash Received From Other Funds2,756 11,816 Taxes and Special Assessments

5 279 Fines, Forfeitures, and PenaltiesLicenses and PermitsLoans Paid

31,705 1,439 234 Aid from Other Governmental Agencies(68,434) Health Care Expense

(19,961) 4,195 12,329 Net Cash Provided (Used) by Non-Capital Financing Activities


(6,152) (684) (1,387) Acquisition or Construction of Capital Assets13,655 Proceeds from Issuance of Certificates of Participation(2,005) (995) Payment of Long Term Debt - Certificates of Participation (1,175) (756) Interest Paid on Long Term Debt

(40) Payment of Capital Lease

4,323 (684) (3,178) Net Cash Provided (Used) by Capital and Related Financing Activities


2,091 28 2,430 Interest on Bank Deposits and Investments

39,712 880 5,691 Net Increase (Decrease) in Cash and Cash Equivalents

27,007 56 48,614 Cash and Cash Equivalents, July 1, 1999

$ 66,719 $ 936 $ 54,305 Cash and Cash Equivalents, June 30, 2000

142

COUNTY OF KERNCOMBINING STATEMENT OF CASH FLOWS (CONTINUED)ENTERPRISE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

Page 2 of 2



RECONCILIATION OF OPERATING INCOME (LOSS) TONET CASH PROVIDED (USED) BY OPERATING ACTIVITIES

Operating Income (Loss) $ 15,162 $ (336) $ (2,115) $ 410


Other Non-Operating Revenues 4,356 133 2Depreciation 6,313 310 336 159

Changes in Assets and Liabilities:(Increase) Decrease in Accounts Receivable 9,101 (4) (5)(Increase) Decrease in Inventory (94)(Increase) Decrease in Accrued Revenue 13 (18)(Increase) Decrease in Prepaid Items 11,676Increase (Decrease) in Accrued Expenses 1,447 (31) 1Increase (Decrease) in Due to Others (66)Increase (Decrease) in Salaries & Benefits Payable 589 6Increase (Decrease) in Compensated Absences Payable 384 9Increase (Decrease) in Provision for Liability Claims (3,036)Increase (Decrease) in Closure/Post Closure Liability (2,278)

Total Adjustments 28,405 405 334 159

Net Cash Provided (Used) by Operating Activities $ 43,567 $ 69 $ (1,781) $ 569

NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES:

Residual Equity Transfers (To) From Other Funds $ 300 $ 300 $ $Fixed Assets Acquired by Capital Lease or Long-Term Obligations 925 800

Total Noncash Investing, Capital, and Financing Activities $ 1,225 $ 1,100 $ $

143

of 2


RECONCILIATION OF OPERATING INCOME (LOSS) TONET CASH PROVIDED (USED) BY OPERATING ACTIVITIES

$ 27,716 $ (3,160) $ (7,353) Operating Income (Loss)


1,936 12 2,273 Other Non-Operating Revenues4,375 411 722 Depreciation

Changes in Assets and Liabilities:8,454 656 (Increase) Decrease in Accounts Receivable

(94) (Increase) Decrease in Inventory(17) 48 (Increase) Decrease in Accrued Revenue

11,676 (Increase) Decrease in Prepaid Items1,382 94 1 Increase (Decrease) in Accrued Expenses

(66) Increase (Decrease) in Due to Others556 1 26 Increase (Decrease) in Salaries & Benefits Payable360 15 Increase (Decrease) in Compensated Absences Payable

(3,036) Increase (Decrease) in Provision for Liability Claims(2,278) Increase (Decrease) in Closure/Post Closure Liability

25,543 501 1,463 Total Adjustments

$ 53,259 $ (2,659) $ (5,890) Net Cash Provided (Used) by Operating Activities

NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES:

$ $ $ Residual Equity Transfers (To) From Other Funds125 Fixed Assets Acquired by Capital Lease or Long-Term Obligations

$ $ $ 125 Total Noncash Investing, Capital, and Financing Activities

144

145

INTERNAL SERVICE FUNDS DESCRIPTIONS

Internal Service Funds account for services furnished to other County departments and are financed primarilyby charges for such services. Because they are divorced from the regular County operation, they are freeto employ commercial accounting techniques, and are often used in situations where a more accuratedetermination of costs is desired.

General Liability - This fund provides for the funding, administration and operation of a self-insuredsystem to meet the county’s legal liability for damages to persons and/or property arising out of theCounty’s general and automotive activities.

General Services - Garage - This fund provides funding for purchase and maintenance service forvehicles assigned operationally to County departments, excluding those departments that maintain andoperate their own vehicle fleets (Parks, Fire, Roads, Airports, and Sheriffs Lerdo Facility).

Group Health - This fund provides for the funding, administration and operation of the County employees’health and dental insurance plans. This fund is administered by the County Administrative Office and isfinanced through charges to the operating departments and special districts enrolled in the program.

Retiree Group Health - This fund provides for the County’s contributions to the Retired Employees HealthInsurance and the Retiree Premium Support Program.

Unemployment Compensation - This fund provides for the funding, administration, and operation of theUnemployment Compensation Program to meet the County’s obligation of providing unemployment benefitsto former employees eligible under State law.

Workers’ Compensation - This fund provides for the funding, administration and operation of the self-insured system to meet the County’s statutory obligation to compensate its employees for work relatedinjuries and illnesses.

COUNTY OF KERNCOMBINING BALANCE SHEETINTERNAL SERVICE FUNDSJUNE 30, 2000 (IN THOUSANDS)

GENERALGENERAL SERVICES- GROUP

TOTAL LIABILITY GARAGE HEALTH

Pooled Cash and Investments $ 25,297 $ 4,357 $ 1,736 $ 5,552Interest Receivable 412 73 25 88Deposits with Others 635 635Prepaid Items 234 234Accounts Receivable 41 41Inventory- Materials and Supplies 141 141Equipment (Net of Accumulated Depreciation) 3,527 3,527

Total Assets $ 30,287 $ 4,430 $ 5,470 $ 6,509

Liabilities:Accrued Expenses $ 1,021 $ $ $ 1,021Salaries and Employee Benefits Payable 15 15Due to Other Funds 99Compensated Absences Payable 81 81Liability for Self-Insurance - Current 17,478 2,744 6,082Liability for Self-Insurance - Long Term 17,243 5,316Long Term Debt - Pension Obligation Bonds 482 482

Total Liabilities 36,419 8,060 578 7,103

Fund Equity (Deficit):Contributed Capital 1,273 1,273Retained Earnings (Deficit):Reserved (Note lll K) 971 4 269 695Unreserved (8,376) (3,634) 3,350 (1,289)

Total Retained Earnings (Deficit) (7,405) (3,630) 3,619 (594)

Total Fund Equity (Deficit) (6,132) (3,630) 4,892 (594)

Total Liabilities and Fund Equity $ 30,287 $ 4,430 $ 5,470 $ 6,509

ASSETS


146

RETIREEGROUP UNEMPLOYMENT WORKERS'HEALTH COMPENSATION COMPENSATION

$ 9,589 $ 988 $ 3,075 Pooled Cash and Investments145 10 71 Interest Receivable

Deposits with OthersPrepaid ItemsAccounts ReceivableInventory- Materials and SuppliesEquipment (Net of Accumulated Depreciation)

$ 9,734 $ 998 $ 3,146 Total Assets

Liabilities:$ $ $ Accrued Expenses

Salaries and Employee Benefits Payable99 Due to Other Funds

Compensated Absences Payable 402 8,250 Liability for Self-Insurance- Current

11,927 Liability for Self-Insurance- Long TermLong Term Debt - Pension Obligation Bonds

402 20,276 Total Liabilities

Fund Equity (Deficit):Contributed Capital

Retained Earnings (Deficit):3 Reserved (Note lll K)

9,734 593 (17,130) Unreserved

9,734 596 (17,130) Total Retained Earnings (Deficit)

9,734 596 (17,130) Total Fund Equity (Deficit)

$ 9,734 $ 998 $ 3,146 Total Liabilities and Fund Equity

ASSETS


147

COUNTY OF KERNCOMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS (DEFICIT)INTERNAL SERVICE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)


TOTAL LIABILITY GARAGE HEALTHOPERATING REVENUES:

Charges for Current Services $ 62,617 $ 5,000 $ 2,429 $ 43,283Other Revenues 1,243 1,243

Total Operating Revenues 63,860 6,243 2,429 43,283

OPERATING EXPENSES:Salaries and Employee Benefits 2,183 538Services and Supplies 8,777 2,426 930 4,016Claims Incurred 50,634 40,528Other Charges 4,446 690 284 3,209Depreciation Expense 515 515

Total Operating Expenses 66,555 3,116 2,267 47,753

Operating Income (Loss) (2,695) 3,127 162 (4,470)

NON-OPERATING REVENUES (EXPENSES):Interest on Bank Deposits and Investments 1,310 168 86 355Other Revenues 299 66 37Aid from Other Governmental Agencies 85Gain (Loss) on Sale of Fixed Assets (6) (6)

Total Non-Operating Revenues (Expenses) 1,688 234 117 355

Income (Loss) before Operating Transfers (1,007) 3,361 279 (4,115)

Add: Depreciation on Contributed Assets 164 164Add: Basis of Disposed Contributed Assets 25 25

Increase (Decrease) in Retained Earnings (818) 3,361 468 (4,115)

Retained Earnings (Deficit), July 1, 1999 (6,587) (6,991) 3,152 3,520

Retained Earnings (Deficit), June 30, 2000 $ (7,405) $ (3,630) $ 3,620 $ (595)

148

RETIREE GROUP UNEMPLOYMENT WORKERS'HEALTH COMPENSATION COMPENSATION

OPERATING REVENUES:$ 2,673 $ 802 $ 8,430 Charges for Current Services

Other Revenues

2,673 802 8,430 Total Operating Revenues

OPERATING EXPENSES:1,645 Salaries and Employee Benefits

84 12 1,309 Services and Supplies1,008 9,098 Claims Incurred

78 9 176 Other ChargesDepreciation Expense

1,807 1,029 10,583 Total Operating Expenses

866 (227) (2,153) Operating Income (Loss)

NON-OPERATING REVENUES (EXPENSES):467 37 197 Interest on Bank Deposits and Investments18 178 Other Revenues

85 Aid from Other Governmental AgenciesGain (Loss) on Sale of Fixed Assets

485 37 460 Total Non-Operating Revenues (Expenses)

1,351 (190) (1,693) Income (Loss) before Operating Transfers

Add: Depreciation on Contributed AssetsAdd: Basis of Disposed Contributed Assets

1,351 (190) (1,693) Increase (Decrease) in Retained Earnings

8,382 786 (15,436) Retained Earnings (Deficit), July 1, 1999

$ 9,733 $ 596 $ (17,129) Retained Earnings (Deficit), June 30, 2000

149

COUNTY OF KERNCOMBINING STATEMENT OF CASH FLOWSINTERNAL SERVICE FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)


TOTAL LIABILITY GARAGE HEALTHCASH FLOWS FROM OPERATING ACTIVITIES:

Cash Received for Current Services $ 62,617 $ 5,000 $ 2,429 $ 43,283Cash Received for Other Operations 299 66 37Cash Paid for Salaries and Benefits (2,201) (556)Cash Paid for Services and Supplies (8,383) (2,355) (934) (3,689)Cash Paid for Reported Claims (47,439) (326) (38,550)Cash Paid for Other Charges (4,446) (690) (284) (3,209)

Net Cash Provided (Used) by Operating Activities 447 1,695 692 (2,165)


Aid from Other Governmental Agencies 85

Net Cash Provided (Used) by Non-Capital Financing Activities 85


Acquisition or Construction of Capital Assets (622) (622)Proceeds From Sale of Fixed Assets 20 20

Net Cash Provided (Used) by Capital and Related Financing Activities (602) (602)


Interest on Bank Deposits and Investments 1,222 133 82 352

Net Increase (Decrease) in Cash and Cash Equivalents 1,152 1,828 172 (1,813)

Cash and Cash Equivalents, July 1, 1999 24,145 2,530 1,564 7,365

Cash and Cash Equivalents, June 30, 2000 $ 25,297 $ 4,358 $ 1,736 $ 5,552


Operating Income (Loss) $ (2,695) $ 3,127 $ 162 $ (4,470)


Other Non-Operating Revenues 299 66 37Depreciation 515 515

Changes in Assets and Liabilities:(Increase) Decrease in Inventory (4) (4)(Increase) Decrease in Prepaid Items 54 71 (17)Increase (Decrease) in Accrued Expenses 344 344Increase (Decrease) in Due to Others 27Increase (Decrease) in Salaries & Benefits Payable (2) (2)Increase (Decrease) in Compensated Absences Payable (16) (16)Increase (Decrease) in Provision for Liability Claims 1,925 (1,569) 1,978

Total Adjustments 3,142 (1,432) 530 2,305

Net Cash Provided (Used) by Operating Activities $ 447 $ 1,695 $ 692 $ (2,165)


Residual Equity Transfer (To) From Other Funds $ 459 $ $ 459 $

150

RETIREEGROUP UNEMPLOYMENT WORKERS'HEALTH COMPENSATION COMPENSATION

CASH FLOWS FROM OPERATING ACTIVITIES:

$ 2,673 $ 802 $ 8,430 Cash Received for Current Services18 178 Cash Received for Other Operations

(1,645) Cash Paid for Salaries and Benefits(84) (12) (1,309) Cash Paid for Services and Supplies

(823) (7,740) Cash Paid for Reported Claims(78) (9) (176) Cash Paid for Other Charges

884 (42) (617) Net Cash Provided (Used) by Operating Activities


85 Aid from Other Governmental Agencies

85 Net Cash Provided (Used) by Non-Capital Financing Activities


Acquisition or Construction of Capital AssetsProceeds From Sale of Fixed Assets

Net Cash Provided (Used) by Capital and Related Financing Activities


424 41 190 Interest on Bank Deposits and Investments

1,308 (1) (342) Net Increase (Decrease) in Cash and Cash Equivalents

8,280 989 3,417 Cash and Cash Equivalents, July 1, 1999

$ 9,588 $ 988 $ 3,075 Cash and Cash Equivalents, June 30, 2000


$ 866 $ (227) $ (2,153) Operating Income (Loss)


18 178 Other Non-Operating RevenuesDepreciation

Changes in Assets and Liabilities:(Increase) Decrease in Inventory(Increase) Decrease in Prepaid ItemsIncrease (Decrease) in Accrued Expenses

27 Increase (Decrease) in Due to OthersIncrease (Decrease) in Salaries & Benefits PayableIncrease (Decrease) in Compensated Absences Payable

185 1,331 Increase (Decrease) in Provision for Liability Claims

18 185 1,536 Total Adjustments

$ 884 $ (42) $ (617) Net Cash Provided (Used) by Operating Activities


$ $ $ Residual Equity Transfer (To) From Other Funds

151

152

FIDUCIARY FUNDS DESCRIPTIONS

Investment Trust Funds - The Investment Trust is made up of funds for schools districts, self governedspecial districts, state trial court and other investment trusts. The County schools’ operating and debt servicefunds are grouped under this entity. The County has fiduciary responsibility for cash and investments, andthe Auditor-Controller-County Clerk makes disbursements upon the request of the responsible school districtofficers. The County has responsibility for numerous self-governed special districts. Cash and investmentsare administered by the County Treasurer, and the Auditor-Controller-County Clerk makes disbursementsupon the request of the responsible district officers. The State Trial Court Fund accounts for the operationof Trial Courts beginning July 1, 1998, as a result of A.B. 233. The Other Investment Trust Funds accountfor all other funds for which the County Treasurer and Auditor-Controller-County Clerk have fiduciaryresponsibility.

Agency Funds - Agency Funds are funds under the control of individual County officers who use them forthe deposit of various types of receipts and to accumulate resources for specific purposes. UnapportionedFunds are used for recording the collection and distribution of property taxes and interest on bank deposits.Disbursements are made from these funds by warrants issued by the County Auditor-Controller upon therequisition of the responsible officer.

COUNTY OF KERNCOMBINING BALANCE SHEETFIDUCIARY FUNDSJUNE 30, 2000 (IN THOUSANDS)

TRUST FUND AGENCY FUNDS

TOTAL INVESTMENT CLEARING

Pooled Cash and Investments $ 956,271 $ 819,850 $ 662Revolving Fund Cash 7 7Receivables:

Accounts 909 755 13Loans 190Taxes 91,565Interest 8,758 6,424

Due from Other:Funds 259Agencies 4,806

Equipment 3 3

Total Assets $ 1,062,768 $ 827,039 $ 675

LiabilitesPayables:

Warrants $ 155,208 $ 139,548 $Accounts 1,676 1,676Matured Bonds and Interest 152 152

Due to Other:Funds 1,611 1,408Agencies 202,640 675

Advances from Other Funds 13,515Unapportioned Installment Redemptions 3,711

Total Liabilities 378,513 142,784 675

Fund Balance (Deficit):Reserved (Note III L ) 684,255 684,255

Total Liabilities and Fund Balance $ 1,062,768 $ 827,039 $ 675

ASSETS


153

WARRANTCLEARANCE STATE OTHER UNAPPORTIONED

$ 15,660 $ 3,953 $ 107,185 $ 8,961 Pooled Cash and InvestmentsRevolving Fund CashReceivables:

141 Accounts190 Loans

28,562 63,003 Taxes24 952 1,358 Interest

Due from Other:259 Funds

4,806 AgenciesEquipment

$ 15,660 $ 3,977 $ 142,095 $ 73,322 Total Assets

LiabilitesPayables:

$ 15,660 $ $ $ WarrantsAccounts Matured Bonds and Interest

Due to Other:93 110 Funds

3,884 128,470 69,611 Agencies13,515 Advances from Other Funds

3,711 Unapportioned Installment Redemptions

15,660 3,977 142,095 73,322 Total Liabilities

Fund Balance (Deficit):Reserved (Note III L )

$ 15,660 $ 3,977 $ 142,095 $ 73,322 Total Liabilities and Fund Balance

AGENCY FUNDS

ASSETS


154

COUNTY OF KERNSTATEMENT OF NET ASSETSINVESTMENT TRUST FUNDYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

INVESTMENT

Cash and Cash Equivalents $ 819,857Total Cash and Cash Equivalents 819,857

Receivables:Interest and Dividends Receivable 6,422Contributions and Other Receivables 756

Total Receivables 7,178

Fixed Assets, Net of Accumulated Depreciation 3

Total Assets 827,038

Warrants Payable 139,548Accounts Payable 1,827Due to Other Funds 1,408


Net Assets Held in Trust for Pool Participants $ 684,255

ASSETS

LIABLITIES

155

COUNTY OF KERNCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIESAGENCY FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS) Page 1 of 2

BALANCE BALANCEJULY 1, 1999 ADDITIONS DEDUCTIONS JUNE 30, 2000

TOTAL AGENCY FUNDS

ASSETSPooled Cash and Investments $ 197,063 $ 2,922,068 $ 2,982,710 $ 136,421Interest Receivable 2,334 2,334Accounts Receivable 153 862 861 154Loans Receivable 271 21 103 189Taxes Receivable 86,544 633,967 628,945 91,566Due from Other Funds 259 259Due from Other Agencies 4,184 4,806 4,184 4,806

Total Assets $ 288,215 $ 3,564,317 $ 3,616,803 $ 235,729

LIABILITIESWarrants Payable $ 24,013 $ 1,495,916 $ 1,504,269 $ 15,660Advance from Other Funds 18,515 5,000 13,515Due to Other Funds 3,993 5,192 8,982 203Due to Other Governments 237,759 1,419,167 1,454,286 202,640Unapportioned Installment Redemptions 3,933 4,242 4,464 3,711

Total Liablities $ 288,213 $ 2,924,517 $ 2,977,001 $ 235,729

CLEARING FUNDS

ASSETSPooled Cash and Investments $ 395 $ 417,882 $ 417,615 $ 662Accounts Receivable 11 78 76 13

Total Assets $ 406 $ 417,960 $ 417,691 $ 675

LIABILITIESDue to Other Governments $ 406 $ 413,223 $ 412,954 $ 675

Total Liablities $ 406 $ 413,223 $ 412,954 $ 675

WARRANT CLEARANCE FUNDS

ASSETSPooled Cash and Investments $ 24,013 $ 1,495,919 $ 1,504,272 $ 15,660

Total Assets $ 24,013 $ 1,495,919 $ 1,504,272 $ 15,660

LIABILITIESWarrants Payable $ 24,013 $ 1,495,916 $ 1,504,269 $ 15,660

Total Liablities $ 24,013 $ 1,495,916 $ 1,504,269 $ 15,660

156

COUNTY OF KERNCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES (CONTINUED)AGENCY FUNDSYEAR ENDED JUNE 30, 2000 (IN THOUSANDS) Page 2 of 2


STATE FUNDS

ASSETSPooled Cash and Investments $ 4,046 $ 11,601 $ 11,694 $ 3,953Interest Receivable 24 24

Total Assets $ 4,046 $ 11,625 $ 11,694 $ 3,977

LIABILITIESDue to Other Funds $ 75 $ 93 $ 75 $ 93Due to Other Governments 3,971 9,884 9,971 3,884

Total Liablities $ 4,046 $ 9,977 $ 10,046 $ 3,977

OTHER FUNDS

ASSETSPooled Cash and Investments $ 155,914 $ 373,297 $ 422,026 $ 107,185Interest Receivable 952 952Due from Other Funds 259 259Due from Other Agencies 4,184 4,806 4,184 4,806Accounts Receivable 142 784 785 141Loans Receivable 271 21 103 189Taxes Receivable 29,569 9,238 10,244 28,563

Total Assets $ 190,080 $ 389,357 $ 437,342 $ 142,095

LIABILITIESAdvances from Other Funds $ 18,515 $ $ 5,000 $ 13,515Due to Other Funds 115 110 115 110Due to Other Government 171,449 288,653 331,632 128,470


UNAPPORTIONED FUNDS

ASSETSPooled Cash and Investments $ 12,695 $ 623,369 $ 627,103 $ 8,961Interest Receivable 1,358 1,358Taxes Receivable 56,975 624,729 618,701 63,003

Total Assets $ 69,670 $ 1,249,456 $ 1,245,804 $ 73,322

LIABILITIESDue to Other Funds $ 3,803 $ 4,989 $ 8,792 $Due to Other Governments 61,933 707,407 699,729 69,611Unapportioned Installment Redemptions 3,933 4,242 4,464 3,711


157

158

GENERAL FIXED ASSETS ACCOUNT GROUP DESCRIPTION

General Fixed Assets includes all County Funds and all Special Districts governed by the Board of Supervisors(except for Enterprise Funds and Internal Service Funds). Fixed assets are generally recorded at cost. Depreciation for these fixed assets is not recorded in the records of the County.

Additions include purchases, construction and other acquisitions. Deductions represent sales, trade-ins, orother dispositions.

COUNTY OF KERN SCHEDULE OF GENERAL FIXED ASSETS - BY SOURCEJUNE 30, 2000 (IN THOUSANDS)

GENERAL FIXED ASSETS:

Land $ 19,304

Structures and Improvements 291,329

Equipment 66,244

Construction in Progress 4,553

Total General Fixed Assets $ 381,430

INVESTMENT IN GENERAL FIXED ASSETS:

County Funds $ 258,283

Donations 6,990

Special Districts 2,658

Certificates of Participation 113,499

Investment in General Fixed Assets $ 381,430

159

COUNTY OF KERNSCHEDULE OF GENERAL FIXED ASSETS - BY FUNCTIONJUNE 30, 2000 (IN THOUSANDS)

STRUCTURES & CONSTRUCTIONTOTAL LAND IMPROVEMENTS EQUIPMENT IN PROGRESS

FUNCTION:

General Government $ 96,176 $ 2,322 $ 81,358 $ 9,475 $ 3,021

Public Protection 191,107 9,153 148,441 33,389 124

Public Ways and Facilities 17,986 1,651 6,835 9,471 29

Health and Sanitation 8,400 209 5,644 1,255 1,292

Public Assistance 5,841 12 1,383 4,446

Education 32,229 2,285 25,480 4,464

Recreation & Cultural Services 29,691 3,672 22,188 3,744 87

Total General Fixed Assets $ 381,430 $ 19,304 $ 291,329 $ 66,244 $ 4,553

160

COUNTY OF KERNSCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY FUNCTIONYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)


FUNCTION:

General Government $ 97,245 $ 3,001 $ 4,070 $ 96,176

Public Protection 188,112 4,608 1,613 191,107

Public Ways and Facilities 17,013 1,472 499 17,986

Health and Sanitation 6,225 3,780 1,605 8,400

Public Assistance 5,568 315 42 5,841

Education 31,833 3,562 3,166 32,229

Recreation & Cultural Services 29,467 455 231 29,691

Total General Fixed Assets $ 375,463 $ 17,193 $ 11,226 $ 381,430

161

162

GENERAL LONG-TERM DEBT ACCOUNT GROUP DESCRIPTION

The General Long-Term Debt Account Group is used to account for the estimated County liability for accruedvacation and sick leave and the amounts committed by the County for the lease purchase of equipment,Certificates of Participation, Loans Payable, Facility Lease and Pension Obligation Bonds.

COUNTY OF KERNGENERAL LONG-TERM DEBT ACCOUNT GROUP - COUNTY FUNDS COMBINING BALANCE SHEETJUNE 30, 2000 (IN THOUSANDS)

HUMAN BUILDING MENTALTOTAL GENERAL SERVICES ROAD INSPECTION HEALTH

Resources to be Provided in Future Years:Compensated Absences $ 40,795 $ 27,776 $ 4,968 $ 1,583 $ 263 $ 1,411Lease Purchase Agreements 6,789 6,349 87 113Facility Lease 622 622Certificates of Participation 97,785Loan Payable 10,000 10,000Bonds Payable 240Pension Obligation Bonds 185,461 115,934 23,730 3,589 1,146

Total Assets $ 341,692 $ 160,681 $ 28,785 $ 5,172 $ 1,409 $ 1,524

General Long-Term Debt Payable $ 341,692 $ 160,681 $ 28,785 $ 5,172 $ 1,409 $ 1,524

ASSETS

LIABILITIES

163

DISTRICT AGING PUBLIC COUNTY OFSTRUCTURAL ATTORNEY AND ADULT IMPROVEMENT KERN

FIRE FAMILY SUPPORT SERVICES DISTRICTS ASSET LEASING

Resources to be Provided in Future Years:$ 3,460 $ 843 $ 491 $ $ Compensated Absences

240 Lease Purchase AgreementsFacility Lease

97,785 Certificates of ParticipationLoan Payable

240 Bonds Payable37,779 3,283 Pension Obligation Bonds

$ 41,479 $ 4,126 $ 491 $ 240 $ 97,785 Total Assets

$ 41,479 $ 4,126 $ 491 $ 240 $ 97,785 General Long-Term Debt Payable

ASSETS

LIABILITIES

164

COUNTY OF KERNSCHEDULE OF CHANGES IN GENERAL LONG-TERM DEBTYEAR ENDED JUNE 30, 2000 (IN THOUSANDS)

BALANCE BALANCEJULY 1, 1999 ADDITIONS DELETIONS JUNE 30, 2000

Resources to be Provided in Future Years:

Compensated Absences $ 37,087 $ 3,708 $ $ 40,795

Lease Purchase Agreements 7,441 2,365 3,017 6,789

Loans Payable 10,000 10,000

Facility Lease 671 49 622

Certificates of Participation 99,000 6,815 8,030 97,785

Bonds Payable 255 15 240

Pension Obligation Bonds 185,461 185,461

Total General Long-Term Debt $ 329,915 $ 22,888 $ 11,111 $ 341,692

165

COUNTY OF KERN GENERAL GOVERNMENTAL REVENUES BY SOURCELAST TEN FISCAL YEARS (IN THOUSANDS)

SOURCE 1990-91 1991-92 1992-93 1993-94 1994-95

Taxes $ 173,468 $ 162,335 $ 150,459 $ 126,338 $ 114,397

Licenses, Permits and Franchises 11,026 11,055 8,229 8,507 7,766

Fines, Forfeitures and Penalties 10,648 6,883 6,071 6,435 6,788

Revenue from Use of Money and Property 11,455 18,647 7,919 6,551 8,928

Aid From Other Governmental Agencies 268,928 308,894 312,763 357,021 398,843

Charges For Current Services 48,878 59,196 58,168 60,626 73,360

Other Revenue 12,964 8,363 23,974 26,901 79,640

Total $ 537,367 $ 575,373 $ 567,583 $ 592,379 $ 689,722

.

$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

$800,000

$900,000

$1,000,000

1990

-91

1991

-92

1992

-93

1993

-94

1994

-95

1995

-96

1996

-97

1997

-98

1998

-99

1999

-00

REVENUE TRENDS

$ in thousands

166

1995-96 1996-97 1997-98 1998-99 1999-00 SOURCE

$ 119,228 $ 124,323 $ 138,034 $ 132,131 $ 139,328 Taxes

8,189 8,453 8,582 9,710 9,492 Licenses, Permits and Franchises

8,701 7,669 12,697 13,926 17,248 Fines, Forfeitures and Penalties

10,687 10,315 11,840 12,061 13,038 Revenue from Use of Money and Property

428,170 421,008 440,414 464,590 521,590 Aid From Other Governmental Agencies

77,447 80,267 88,679 105,232 116,471 Charges For Current Services

42,084 52,987 73,467 107,422 88,256 Other Revenue

$ 694,506 $ 705,022 $ 773,713 $ 845,072 $ 905,423 Total

167

COUNTY OF KERN

GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTIONLAST TEN FISCAL YEARS (IN THOUSANDS)

FUNCTION 1990-91 1991-92 1992-93 1993-94 1994-95

General Government $ 63,591 $ 59,728 $ 51,905 $ 50,767 $ 50,778

Public Protection 182,892 183,188 183,752 188,358 204,075

Health and Sanitation 38,980 44,704 43,155 44,632 108,586

Public Assistance 207,640 226,319 231,669 246,581 275,568

Education 7,651 7,622 7,090 6,213 6,486

Recreation and Cultural Services 9,252 9,089 7,065 7,629 8,795

Public Ways and Facilities 20,038 22,246 20,607 25,345 23,125

Capital Outlay 22,476 5,356 4,171 2,501 3,715

Debt Service - Principal 3,425 20,865 4,210 4,150

Debt Service - Interest 5,000 3,862 3,320 4,233

Total $ 552,520 $ 566,677 $ 574,141 $ 579,556 $ 689,511

$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

$800,000

$900,000

1990

-91

1991

-92

1992

-93

1993

-94

1994

-95

1995

-96

1996

-97

1997

-98

1998

-99

1999

-00

EXPENDITURE TRENDS - Dollars In Thousands

168

1995-96 1996-97 1997-98 1998-99 1999-00 FUNCTION

$ 53,100 $ 52,337 $ 57,246 $ 66,343 $ 66,461 General Government

220,899 227,549 245,748 251,602 264,142 Public Protection

88,878 97,355 120,616 136,385 157,362 Health and Sanitation

279,640 262,503 251,601 281,877 309,570 Public Assistance

6,758 7,064 7,663 7,365 7,449 Education

9,377 8,769 9,010 9,397 9,440 Recreation and Cultural Services

22,075 20,806 24,295 24,138 24,194 Public Ways and Facilities

4,839 8,966 14,038 7,411 8,478 Capital Outlay

4,300 5,300 6,962 7,406 8,079 Debt Service - Principal

4,185 14,223 14,759 13,620 13,590 Debt Service - Interest

$ 694,051 $ 704,872 $ 751,938 $ 805,544 $ 868,765 Total

169

COUNTY OF KERN

COMPARATIVE SCHEDULE OF

TOTAL TAXES LEVIED ON COUNTY TAX BILLS FOR ALL AGENCIES

LAST TEN FISCAL YEARS (IN THOUSANDS)

AMOUNT PERCENTAGE

TAXES TAXES DELINQUENT OF

FISCAL YEAR DESCRIPTION LEVIED COLLECTED* (JUNE 30) DELINQUENCY

1990-91 Secured $ 409,930 $ 395,906 $ 14,024

Unsecured 27,243 25,998 1,245

Total 437,173 421,904 15,269 3.493%

1991-92 Secured 394,365 379,490 14,874

Unsecured 25,254 24,278 976

Total 419,618 403,768 15,850 3.777%

1992-93 Secured 394,749 378,535 16,214

Unsecured 26,779 25,936 843

Total 421,528 404,471 17,057 4.046%

1993-94 Secured 408,640 391,347 17,293

Unsecured 25,294 24,708 586

Total 433,934 416,055 17,879 4.120%

1994-95 Secured 393,977 376,846 17,131

Unsecured 20,819 20,034 785

Total 414,796 396,880 17,916 4.319%

1995-96 Secured 423,449 404,437 19,012

Unsecured 19,031 18,271 758

Total 442,480 422,708 19,770 4.468%

1996-97 Secured 447,890 429,474 18,416

Unsecured 19,204 18,564 640

Total 467,094 448,038 19,056 4.080%

1997-98 Secured 467,784 449,604 18,180

Unsecured 18,796 18,099 697

Total 486,580 467,703 18,877 3.880%

1998-99 Secured 455,527 436,345 19,182

Unsecured 21,502 20,900 602

Total 477,029 457,245 19,784 4.147%

1999-00 Secured 497,571 480,111 17,461

Unsecured 22,847 22,303 544

Total 520,418 502,414 18,005 3.46%

* The above amounts do not include any penalties collected

or any penalties due with delinquency amount.

Source: Auditor-Controller-County Clerk, County of Kern

170

COUNTY OF KERN PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS(% PER $100 OF ASSESSED VALUE)LAST TEN FISCAL YEARS

FISCAL CITY OF SPECIALYEAR COUNTYWIDE BAKERSFIELD DISTRICTS SCHOOLS TOTAL

1990-91 1.0 0.004041 0.084929 0.073231 1.162201

1991-92 1.0 0.002502 0.061379 0.068013 1.131894

1992-93 1.0 0.002400 0.056930 0.100784 1.160114

1993-94 1.0 0.066719 0.104529 1.171248

1994-95 1.0 0.060391 0.065063 1.125454

1995-96 1.0 0.084461 0.078741 1.163202

1996-97 1.0 0.080662 0.088116 1.168778

1997-98 1.0 0.076735 0.095754 1.172489

1998-99 1.0 0.075166 0.064374 1.139540

1999-00 1.0 0.074314 0.087712 1.162026


Notes: The above tax rates are for tax rate area 001-001, which applies to most property within the County of Kern

California voters, on June 6, 1978, approved a constitutional amendment to Article XIIIA of the California Constitution, (commonly known asStatutes of 1978, Chapter 292, as amended) which provides that notwithstanding any other law, local agencies may not levy any property tax except to pay debt service on indebtedness approved by voters prior to July 1, 1978, and that each County will levy the maximum tax permitted by Article XIIIA of $1.00 per $100.00 of full cash value. For fiscal years thereafter, the assessed value is equal to full cash value, pursuant toSenate Bill 1656, Statutes of 1978.

171

COUNTY OF KERN

COMPARATIVE SCHEDULE OF ASSESSED VALUATIONS

SECURED AND UNSECURED

LAST TEN FISCAL YEARS ( IN THOUSANDS)

PERSONAL

FISCAL REAL ESTATE REAL ESTATE IMPROVEMENTS IMPROVEMENTS PROPERTY

YEAR INSIDE OUTSIDE INSIDE OUTSIDE INSIDE

1990-91 2,251,926 15,818,665 6,252,920 8,780,989 479,536

1991-92 2,447,185 13,250,859 6,747,483 9,127,430 482,465

1992-93 2,639,887 11,057,348 7,150,480 9,664,438 499,560

1993-94 2,825,926 12,674,067 7,533,228 9,942,178 486,084

1994-95 2,971,643 9,045,397 7,975,038 10,224,350 527,016

1995-96 3,092,515 10,791,556 8,371,689 10,427,513 550,462

1996-97 3,135,975 11,800,346 8,546,839 10,563,722 550,479

1997-98 3,202,950 13,706,174 8,737,682 10,860,330 565,488

1998-99 3,257,755 12,192,527 9,005,070 10,217,692 653,895

1999-00 3,411,557 14,645,217 9,692,268 10,830,481 634,079

* The Net Total County Valuation figures are before subtracting the State

Subvented Homeowners and Business Inventory Exemptions.

** Beginning with 1988-89 fiscal year, Unitary and Operating Non-Unitary

properties are assessed countywide as required by Assembly Bill 454.

Source: Auditor - Controller - County Clerk, County of Kern

172

COUNTYWIDE

PERSONAL UNITARY AND TOTAL LESS NET TOTAL

PROPERTY OPERATING COUNTY NON-SUBVENTED COUNTY FISCAL

OUTSIDE NON-UNITARY** VALUATION EXEMPTIONS VALUATIONS* YEAR

1,059,298 1,621,075 36,264,409 420,567 35,843,842 1990-91

1,045,461 1,608,369 34,709,252 456,933 34,252,319 1991-92

1,258,772 1,730,564 34,001,049 530,191 33,470,858 1992-93

1,048,198 1,729,828 36,239,509 568,500 35,671,009 1993-94

967,722 1,742,344 33,453,510 638,988 32,814,522 1994-95

960,068 1,717,325 35,911,129 670,985 35,240,144 1995-96

912,295 1,709,893 37,219,550 711,575 36,507,975 1996-97

922,785 1,622,220 39,617,629 733,440 38,884,189 1997-98

958,951 1,619,550 37,905,440 781,115 37,124,325 1998-99

1,040,266 1,556,419 41,810,286 816,531 40,993,755 1999-00

173

COUNTY OF KERN

SPECIAL ASSESSMENTS AND BUILDING PERMITS

FISCAL YEARS 1990-91 THROUGH 1999-00 (IN THOUSANDS)

COUNTY OF KERN COUNTY OF KERN

SPECIAL ASSESSMENTS (1) BUILDING PERMITS (2)

Fiscal Amount Fiscal Permits Value

Year Assessed Year Issued of Buildings

1990-91 $ 16,907 1990-91 8,870 $ 651,431

1991-92 18,888 1991-92 9,108 514,933

1992-93 17,778 1992-93 8,429 541,781

1993-94 14,829 1993-94 6,716 528,321

1994-95 15,167 1994-95 6,603 458,797

1995-96 15,348 1995-96 6,750 448,664

1996-97 15,712 1996-97 6,001 426,811

1997-98 12,343 1997-98 6,674 525,390

1998-99 15,335 1998-99 6,719 644,182

1999-00 13,772 1999-00 6,556 537,434

$ 156,079 $ 5,277,744

(1) Source: Auditor - Controller - County Clerk, County of Kern

(2) Source: Board of Trade, County of Kern

174

COUNTY OF KERN

COMPUTATION OF LEGAL DEBT MARGIN


Legislation does not mandate a debt limit for the County of Kern.

175

COUNTY OF KERN RATIO OF ANNUAL DEBT SERVICE EXPENDITURES TO TOTAL GENERAL GOVERNMENTAL EXPENDITURESLAST TEN FISCAL YEARS (IN THOUSANDS)

RATIO OF DEBTSERVICE TO

TOTAL TOTAL GENERAL TOTAL GENERALFISCAL YEAR PRINCIPAL INTEREST DEBT SERVICE EXPENDITURES (1) EXPENDITURES

1990-91 2,850 14,469 17,319 552,520 3.13%

1991-92 3,195 14,106 17,301 558,251 3.10%

1992-93 20,865 3,862 24,727 574,142 4.31%

1993-94 4,210 3,320 7,530 579,557 1.30%

1994-95 4,150 4,233 8,383 688,221 1.22%

1995-96 4,300 4,185 8,485 694,047 1.22%

1996-97 5,300 14,224 19,524 704,872 2.77%

1997-98 6,962 14,759 21,721 751,938 2.89%

1998-99 7,406 13,620 21,026 805,544 2.61%

1999-00 8,079 13,591 21,670 868,708 2.49%

Notes:

(1) Total General Expenditures includes General, Special Revenue, Capital Projects and Debt Service Funds.


176

COUNTY OF KERN

ESTIMATED DIRECT AND OVERLAPPING BONDED DEBT

JUNE 30, 2000 (IN THOUSANDS)

1999-00 Assessed Valuation: $39,958,881 (After deducting $921,685 Redevelopment Incremental

Valuation; Includes unitary utility valuation)

Percentage

Applicable Debt 5/22/2000

Overlapping Tax and Assessment Debt:

Kern County Union High School District 100 $ 71,615

Bakersfield School District 100 33,440

Panama-Buena Vista Union School District 100 15,555

Fruitvale School District 100 10,685

Fruitvale School District Lease Tax Obligation 100 2,475

Other School, High School and Unified School Districts 100 62,849

City of Bakersfield 100 6,375

North of the River Municipal Water District 100 355

Antelope Valley-East Kern Water Agency 21.100 1,524

Kern County Water Agency I.D. #4 100 6,275

Berrenda Mesa Water District 100 5,515

Cawelo Water District 100 7,365

Kern Delta Water District 100 2,780

Lost Hills Water District and Improvement Districts #1,4,5,6 & 7 100 3,840

Other Water Districts Various 1,141

Belridge Water Storage District 100 6,440

Wheeler Ridge-Maricopa Water Storage District 100 14,465

Semitropic Water Storage District Improvement Districts 100 15,150

Other Water Storage Districts 100 1,537

Community Facilities Districts 100 19,325

Other Special Districts 100 3,417

1915 Act Bonds (Estimated) 100 109,030

Total Gross Overlapping Tax and Assessment Debt 401,153

Less:

City of Bakersfield Water Bonds (100% Self Supporting) 6,375

Water Storage Districts (100% Self Supporting) 15,382

Other Self Supporting Bonds 7,365

Total Net Overlapping Tax and Assessment Debt $ 372,031

Percentage

Direct and Overlapping General Fund Obligation Debt: Applicable Debt 5/22/2000

Kern County Certificates of Participation 100 $ 120,840 (1)

Kern County Pension Obligations 100 227,818

Kern County Board of Education Certificates of Participation 100 100,545

Community College Districts and Certificates of Participation Various 42,251

Kern County Union High School and Certificates of Participation 100 71,800

Other School, High School and Unified School Districts Certificates of P Various 86,521

City of Bakersfield Authorities 100 40,638

City of Ridgecrest Certificates of Participation 100 10,270

City of Taft Certificates of Participation 100 1,963

Other Cities Certificates of Participation 100 1,123

Kern County Public Cemetary Dist. No 1 General Fund Obligations Various 95

Total Gross Direct and Overlapping General Fund Obligation Debt $ 703,864

Total Overlapping Debt 1,075,895$

Combined Gross Debt 1,105,017$ (2)

NOTES:

(1) Excludes tax and revenue anticipation notes.

(2) Excludes tax and revenue anticipation notes, revenue, mortgage revenue and tax allocation bonds and non-b

capital lease oblligations.

Source: California Municipal Statistics.

177

COUNTY OF KERN

RATIO OF NET GENERAL BONDED DEBT TO ASSESSED VALUE

AND NET BONDED DEBT PER CAPITA


RATIO OF NET BONDED

ASSESSED BONDED NET BONDED DEBT PER

FISCAL YEAR POPULATION (1) VALUE (2) DEBT (3) DEBT CAPITA

1990-91 562 35,843,842 - - -

1991-92 587 34,252,319 - - -

1992-93 602 33,470,858 - - -

1993-94 619 35,671,009 - - -

1994-95 628 32,814,522 - - -

1995-96 625 34,145,028 193,095 0.01 309

1996-97 628 36,507,975 193,187 0.01 308

1997-98 640 37,784,760 193,187 0.01 302

1998-99 648 36,127,467 185,462 0.01 286

1999-00 659 39,958,881 185,462 0.01 281

NOTES:

(1) Source: California Department of Finance

(2) Valuations exclude redevelopment tax allocations.

(3) Bonded debt amount includes only general obligation bonds. The County had no general obligation bonds

the five years prior to fiscal year ending June 30, 1996.

178

COUNTY OF KERN

ASSESSED VALUATION OF REDEVELOPMENT AGENCY INCREMENT

JUNE 30, 2000 (IN THOUSANDS)

COUNTY COUNTY STATE

BOND ASSESSMENT ASSESSMENT ASSESSMENT

RATE SECURED UNSECURED UTILITIES TOTAL

ASSESSED VALUATION OF INSIDE PROPERTY

Arvin $ 146,629 $ 16,120 $ 152 $ 162,901

Bakersfield 9,268,460 420,708 19,424 9,708,592

California City 250,848 1,874 121 252,843

Delano 506,026 10,791 1,849 518,666

Maricopa 15,116 1,017 3 16,136

McFarland 140,474 2,466 131 143,071

Ridgecrest 453,438 23,609 11 477,058

Shafter 197,942 18,543 1,654 218,139

Taft 173,173 22,817 424 196,414

Tehachapi 220,317 14,500 1,747 236,564

Wasco 209,759 12,304 1,372 223,435

Total Assessed Value of Inside Property 11,582,182 544,749 26,888 12,153,819

ASSESSED VALUE OF OUTSIDE PROPERTY

Road Fund - Outside 24,898,613 1,120,847 38,539 26,057,999

ASSESSED VALUATION OF COUNTYWIDE PROPERTY

Unitary and Operating Non-Unitary 0.123519 7 1,556,419 1,556,426

(GENERAL LEVY =1.000000)

Pipeline Right of Way 0.123519 190,639 190,639

(GENERAL LEVY =1.000000)

Total Inside and Outside (Excluding 36,480,795 1,856,242 1,621,846 39,958,883

Aircraft and Redevelopment)

Arvin 36,164 (12,589) (81) 23,494

Bakersfield 87,652 15,148 13 102,813

California City 160,885 2,595 (13) 163,467

Delano #1 2,763 (34) 2,729

Delano 102,823 30,282 (604) 132,501

Ridgecrest 328,205 2,736 (10) 330,931

Shafter #1 52,455 800 395 53,650

Shafter #2 47,815 2,404 50,219

Taft 15,500 701 2,218 18,419

Wasco 46,911 (3,620) (67) 43,224

Wasco #1 238 238

Total Redevelopment Agency 881,411 38,423 1,851 921,685

Grand Total - Countywide Taxable Value $ 37,362,206 $ 1,894,665 $ 1,623,697 $ 40,880,568


179

COUNTY OF KERN

BUILDING PERMIT VALUATIONS, DWELLING UNITS AND BANK DEPOSITS

LAST SEVEN CALENDAR YEARS (IN THOUSANDS)

1993 1994 1995 1996 1997 1998 1999

Valuations:(1)

Residential $ 333,461 $ 306,916 $ 333,865 $ 290,196 $ 274,743 $ 360,455 $ 361,140

Non-Residential 194,860 151,881 114,799 136,615 144,408 202,899 164,388

Total $ 528,321 $ 458,797 $ 448,664 $ 426,811 $ 419,151 $ 563,354 $ 525,528

New Dwelling Units:(1)

Single Family $ 295,959 $ 265,246 $ 275,226 $ 245,186 $ 244,134 $ 314,658 $ 320,811

Multiple Family 16,647 23,773 40,450 22,089 11,132 28,770 17,953

Total $ 312,606 $ 289,019 $ 315,676 $ 267,275 $ 255,266 $ 343,428 $ 338,764

Bank Deposits:(2) $ not availabl $ 3,220 $ 3,197 $ 3,058 $ 3,092 $ 3,179 $ 3,268

(1) Source: Construction Industry Research Board.

(2) Source: Federal Deposit Insurance Corporation. Bank deposit information unanavailable prior to 1994.

180

COUNTY OF KERN

DEMOGRAPHIC STATISTICS


SCHOOL (1)

POPULATION (1) POPULATION (2) ENROLLMENT UNEMPLOYMENT RATE

FISCAL COUNTY OF STATE OF POPULATION (2) COUNTY OF COUNTY OF

YEAR KERN CALIFORNIA UNITED STATES KERN KERN (3)

1990-91 562 29,929 250,878 125 11.9%

1991-92 587 30,413 253,668 126 14.8%

1992-93 602 30,892 256,899 132 14.9%

1993-94 619 31,183 258,897 132 14.3%

1994-95 628 31,368 262,176 134 13.8%

1995-96 625 31,558 264,023 137 12.8%

1996-97 628 31,857 267,636 140 13.4%

1997-98 640 32,268 268,790 139 13.1%

1998-99 648 32,667 270,299 139 12.2%

1999-00 659 33,145 272,691 142 10.8%


(2) Source: U.S. Census Bureau

(3) Source: State of California Employment Development Department

181

COUNTY OF KERN

MISCELLANEOUS STATISTICAL DATA

JUNE 30, 2000

GEOGRAPHIC LOCATION: The County of Kern was organized from portions of Los Angeles and Tulare Counties making

southernmost county of California's San Joaquin Valley.

ALTITUDE: Elevation ranges from a high of 8,755 feet above sea level to a low of 300 feet above s

AREA OF COUNTY: 8,172 Square Miles: 5,230,080 acres

COUNTY SEAT: Bakersfield, California

FORM OF GOVERNMENT: General Law County

DATE OF FORMATION: April 2, 1866

FISCAL YEAR: July 1 - June 30

REGISTERED VOTERS: 257,354 as of June 30, 2000

ESTIMATED POPULATION OF THE COUNTY OF KERN AS OF JANUARY 1, 2000:

INCORPORATED CITIES (1):

Arvin 11,850

Bakersfield 237,200

California City 8,775

Delano 35,550

Maricopa 1,250

McFarland 9,450

Ridgecrest 27,300

Shafter 11,900

Taft 9,150

Tehachapi 12,600

Wasco 20,100

Unincorporated 273,800

Total Population 658,925

COUNTY EMPLOYEES (2)(3):

1990-91 7,748

1991-92 7,703

1992-93 7,457

1993-94 7,750

1994-95 7,759

1995-96 7,597

1996-97 7,727

1997-98 7,542

1998-99 7,913

1999-00 8,287

Notes:


(2) Source: County of Kern

(3) Average figures including part-time and extra help employees.

182

COUNTY OF KERN

PRINCIPAL TAXPAYERS

JUNE 30, 2000

(in thousands)

PERCENTAGE OF

NET ASSESSED TOTAL ASSESSED

TAXPAYER TYPE OF BUSINESS VALUATION TOTAL TAX VALUATION

Occidental of Elk Hills, Inc. Oil $ 4719173 $ 48,747 9.78%

Aera Energy LLC Oil 3,035,297 30,999 6.22%

Texaco Exploration & Prod., Inc. Oil 1,013,354 10,741 2.16%

Chevron USA, Inc. Oil 990,971 10,488 2.10%

Texaco California, Inc. Oil 975,255 9,936 1.99%

Pacific Gas & Electric Company Utility 441,777 4,964 1.00%

US Borax, Inc. Mining 278,791 3,001 0.60%

Pacific Bell & Subsidiaries Telecommunications 261,099 2,934 0.59%

Equilon Enterprises LLC Oil 194,980 2,533 0.51%

Sycamore Cogeneration Utility 237,584 2,522 0.51%

Total $ 12,148,281 $ 126,865 25.46%

Source: Kern County Treasurer-Tax Collector

183

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